Insolvency proceedings brought against Northampton Town by the borough council have been adjourned for two weeks so a deal can be agreed.
Lawyers for the Cobblers and Northampton Borough Council told Mr Justice Nugee at London’s High Court today it was agreed that the administration petition would come back on Friday, December 11 if negotiations did not succeed.
The council, which loaned the club money for a new East Stand, is owed more than £10 million.
Its lawyer, James Morgan, told the court that HM Revenue & Customs - which was owed more than £160,000 in unpaid tax, and was due in court on Monday to apply for the club to be wound up - had confirmed its petition would be dismissed as payment was made in full yesterday (Thursday).
Mr Morgan added that agreement with the council, which was the only remaining substantial creditor, would be the next stage in an ongoing process to save the club.
Thomas Talbot-Ponsonby, for Northampton Town, said that it fully supported the adjournment in the hope that the rescue package would go ahead.
The judge approved the adjournment, commenting that it was “very sensible”.