Summary of a recent case which considered the duties of liquidators.
"Pre-packs" are arrangements where the sale of a business is negotiated prior to the appointment of an administrator.
A lease disclaimer may appear to be straightforward and uncomplicated, but yet may be complex and not entirely settled.
The NSW building and construction industry (the Industry) is plagued by a high level of insolvencies.
The Bell Group case, now Australia's most expensive and longest running court case, is now headed to the High Court.
In The Joint and Several Liquidators of QQ Club Limited v. Golden Year Limited, the Court of First Instance held that a liquidator's costs in pursuing an avoidance claim are "fees and expenses properly incurred in preserving, realizing or getting in the assets", and are payable out of the company's assets in priority to all other payments prescribed in rule 179 of the Companies (Winding-up) Rules.
Did you know that the court's guiding principle on assessing remuneration for liquidators in respect of their administration of trust assets held by the company is similar to the principle applicable to liquidation work, that is, on a "value for money" basis rather than as an indemnity against cost?
The Court of First Instance delivered its judgment in the high-profile case of Kam Kwan Sing v Kam Kwan Lai & Ors.
The Companies Bill recently passed in the Legislative Council renders auditors criminally liable if they knowingly or recklessly omit certain information from their reports.
In the recent decision of "Re Po Yuen (To’s) Machine Factory Limited"  HKCU 816, the Honourable Mr. Justice Harris confirmed that the liquidators of a company in liquidation may enter into a litigation funding arrangement with a third party.
Liquidators' ability to recover funds for unsecured creditors has been both strengthened and weakened by recent cases.
Several significant issues in restructuring and insolvency will be decided by NZ courts, and by the Parliament, in 2013.
The High Court judgment found that the Insurance Council of NZ should remove the impediment to the Christchurch rebuild.
The decision is good news for creditors but it may be more difficult for liquidators to recover insolvent transactions.
The maximum priority amount for employees in liquidations, receiverships and bankruptcies increases from Sept 2012.