The recent Court of Appeal case of JCAM Commercial Real Estate Property XV Limited v. Davis Haulage Limited  EWCA Civ 267 has set out the importance of there being a settled intention to enter administration and indicated that this is a pre-requisite to an out of court appointment being validly made.
The judge at first instance had held that it was not necessary for a company or its directors to have, at the point of filing a notice of intention (NOI), a settled intention to appoint an administrator. The Court of Appeal overturned this decision. In the judgment given by Lord Justice David Richards, there is a succinct overview of the out of court appointment process. It was held that conditional proposals to appoint administrators are not sufficient to trigger the entitlement and obligation to give and file an NOI to appoint administrators under paragraphs 26 and 27 respectively of Schedule B1 to the Insolvency Act 1986 (“the Act”).