Judicial management and corporate insolvency: comparative insights from Malaysia and UK

A judicial management (JM) assist a distressed company or its creditors operated as a mediator to prepare and table a restructuring plan for creditor's consideration and approval. This task is executed by virtue of Companies Act 2016 (CA) specifically under Division 8, Subdivision 2 and Corporate Rescue Mechanism Rules 2018 under Part III as an alternative and a rescue mechanism to place the company under management of qualified practitioner (Judicial Manager) to manage the debt in order for the distressed company to get better debt settlement arrangement. Thisresearch reviews a prior studies on the application of JM in Malaysia. A pure doctrinal research and desk-based research was conducted to analyze the application of JM, and the relevant comparison of advantages and limitations as well as similarities and differences of its application in Malaysia and in United Kingdom. This research will highlight the gap analysis on the limitation of JM for the improvement for future research.