Hope value meaning

Quantum of assigned claims not limited to administration shortfall (Manolete Partners Plc v Freed & Others) Manolete Partners Plc v Freed & Others [2024] EWHC 2242 (Ch) What are the practical implications of this case? This ruling provides additional reassurance to office-holders and funders when gauging prospective returns from litigation. It confirms that a claimant—whether the office-holder or an assignee—may pursue recovery of the entire sum diverted from the insolvent company, rather than being confined to the deficit remaining in the estate. The judgment therefore supports assessing claims by reference to the value of the impugned transfers themselves, not merely the administration shortfall. ICC Judge Mullen also affirmed the relevance of Manolete Partners Plc v Hope [2022] EWHC 1801 (Ch) at paragraph 134. There, Zacaroli J declined to conclude that the court lacked jurisdiction to impose the ICC Judge’s Proviso; however, he determined that the “assignee steps into the shoes of the assignor” principle did not warrant a recovery cap where an office-holder had assigned claims to...

The Consultation advances the reforms to the compulsory purchase order (CPO) regime and compensation framework brought in by the Levelling-up and Regeneration Act 2023 (LURA 2023), to honour the Labour government’s manifesto promise to amend compulsory purchase compensation rules ‘to improve land assembly, speed up site delivery, and deliver housing, infrastructure, amenity, and transport benefits in the public interest’, see News Analysis: What the planning industry can expect from the new Labour government. Its intention is that, for defined types of development schemes, landowners receive what the government regards as ‘fair’ compensation, rather than amounts it considers inflated by the prospect of planning permission. Additional proposals aim to accelerate the process and cut the administrative load and expense of implementing CPOs... Changes to the power to limit hope value The first strand of the Consultation builds on LURA 2023, s 190, which amends the Acquisition of Land Act 1981 and the Land Compensation Act 1961 to enable directions to be included in certain CPOs removing the value attributed...

Our verdict The Planning and Infrastructure Bill reached Parliament on 11 March 2025. It sits at the heart of the Labour government’s programme and aligns with its stated missions, which include kickstarting economic growth and making Britain a clean energy superpower, as well as its broader commitments to reform the planning regime to support development—including the delivery of 1.5 million new homes over the course of the current parliament. It is, by any standard, an ambitious package of legislation. However, even though many of the measures proposed are encouraging for developers, especially the reintroduction of spatial planning and the updating of National Policy Statements, significant challenges and uncertainties remain in practice, particularly concerning the sufficient and sustained resourcing of LPAs. LPAs will gain new powers to set their own planning fees, rather than rates being set nationally by the Secretary of State as is currently the case. This is welcomed, indeed, as LPAs can charge at a level that allows cost recovery, with monies ring-fenced so better planning services...

Context The compulsory purchase regime is founded on the premise that a proprietor of land, or of rights, that are compulsorily taken or disturbed is entitled to be compensated. Consequently, working out the compensation is a central part of the compulsory purchase process; see: Promoting a compulsory purchase order, covering preparation of the order, its supporting documents and the making of the order. This Practice Note sets out the core principles for assessing compensation arising from the compulsory acquisition of an interest in land. Compulsory acquisition must rest on specific statutory authority, whether for taking the land itself or rights in or over it. The Royal Prerogative is reserved to the Crown, and even the Crown typically prefers to expropriate or requisition land under statutory powers. Most acquisitions proceed under Public General Acts, for example the Highways Act 1980 (HiA 1980). The making and confirmation of a compulsory purchase order (CPO) is usually regulated by the Acquisition of Land Act 1981 (ALA 1981). See Practice Note: Sources and limits...

What is an underwater share option? An ‘underwater option’ refers to a share option (issued under any share option scheme) where the exercise price per share exceeds the prevailing actual market value of the share. Consequently, if such an underwater option were exercised and the shares sold at once, the option holder would incur a loss. Unsurprisingly, holders are disinclined to exercise underwater options, so in many situations alternative approaches to reward and incentivise those holders must be considered. Note that underwater options outside exit or leaver circumstances (ie where they do not lapse on an imminent exit or the imminent cessation of the option holder’s employment) may still carry a degree of ‘hope value’, reflecting the prospect of an improvement in the company’s position and a rise in the share price, which could lift the market value of a share above the option’s exercise price. Underwater options are most prevalent in economic downturns and, as a result, they tend to be a cyclical issue for companies. A share...

This Practice Note explains the Financial Conduct Authority (FCA) framework permitting authorised funds to deploy side pockets for assets hit by Russia’s invasion of Ukraine and the ensuing sanctions. It provides questions and answers on this framework, including topics such as: scope initial considerations impact on investors cost considerations alternatives changes to the FCA’s proposed rules any further FCA guidance relating to side pockets and managing side pockets It also highlights initial and ongoing considerations for establishing, operating, and managing side pockets within authorised funds effectively. Background On 6 July 2022, the Financial Conduct Authority (FCA) published policy statement PS22/8, ‘Protecting investors in authorised funds following the Russian invasion of Ukraine’, which outlined urgent measures to manage the invasion’s effects on authorised funds and retail investors. Those rules came into effect on 11 July 2022. That policy statement followed consultation paper CP22/8, ‘Protecting investors in authorised funds following the Russian invasion of Ukraine’, which invited views...