Source: http://docplayer.net/1967998-Directors-duties-to-creditors-and-financially-distressed-companies.html
Timestamp: 2017-02-28 10:36:33
Document Index: 272886522

Matched Legal Cases: ['art 5', 'ART 1', 'EWCA ', 'EWCA ', 'EWCA ', 'ART 1', 'ART 2', 'ART 3', 'ART 4', 'ART 1', 'EWCA ', 'EWCA ', 'ART 1']

DIRECTORS DUTIES TO CREDITORS AND FINANCIALLY DISTRESSED COMPANIES - PDF
Download "DIRECTORS DUTIES TO CREDITORS AND FINANCIALLY DISTRESSED COMPANIES"
1 DIRECTORS DUTIES TO CREDITORS AND FINANCIALLY DISTRESSED COMPANIES 1 A N D R E W K E A Y2 AIM To examine what are duties of directors under the Companies Act 2006 as far as creditors are concerned To ascertain when directors have to consider creditors interests To ascertain the inter-relationship between s.172(1) and s.172(3). 23 Company law reform BACKGROUND Asked : for whom are directors to exercise their duties? Considered shareholder value approach as against pluralism Settled on enlightened shareholder value approach Carried forward into legislation 2 limbs ss.172(1) and 417 Companies Act4 Directors have a general duty to promote the success of their company for the benefit of the members as a whole (s.172(1)) Follows on from the common law duty to act bona fide in the best interests of the company The s.172(1) duty provides for a shareholder value approach to company law The ultimate beneficiaries of the exercise of the directors duties is the shareholders and no other stakeholders 45 A PARAMETER ON APPLICATION The duty in s.172(1) has effect subject to any enactment or rule of law that requires directors, in certain circumstances, to act in the interests of the creditors of their company (s.172(3)). Explanatory notes to the Companies Act 2006 at para 331 recognise that this provision displaces the application of s.172(1). 56 Paragraph 332 provides that the requirement to promote the success of the company will be modified by the obligation to have regard to the interests of creditors as the company nears insolvency (my emphasis). This recognises the common law developments in the UK and around the Commonwealth over the past years as far as taking into account creditor interests is concerned 67 Also one would think that the demands of s.214 of the Insolvency Act 1986 (wrongful trading) would also displace the s.172(1) duty. Section 214 requires directors to take every step with a view to minimising the potential loss to the company s creditors. But this is only when the directors knew or ought to have concluded that there was no reasonable prospect that the company would avoid going into insolvent liquidation. This interpretation ensures that there is no conflict between s.172 and s.214 78 This would mean that if directors acted in accordance with the requirements of s.214, when the circumstances envisaged by the section applied, the shareholders would not be successful in claiming a breach of s.172(1) through derivative proceedings. 89 THE BIG QUESTION What are the certain circumstances that will entail the displacement of the s.172(1) duty? Critical so that the directors know how they should operate. The difficulty for directors appears to be knowing when they must move from complying with s.172(1) to complying with s.172(3) They could be treading a fine line and caught between the two provisions 910 WHAT DO WE DO?? 10 If the certain circumstances do not exist then shareholders might take action if directors act in the take creditors interests If the certain circumstances do exist and directors do not act in the creditors interests then there might be a subsequent action brought by a liquidator at a later date if the company enters liquidation11 The obligation imposed on directors to consider the position of creditors has developed over the years as a mechanism to stop companies externalising the cost of their debts at the time of financial distress To prevent directors, perhaps under pressure from shareholders, from gambling the farm The creditors are the primary stakeholder 1112 INSOLVENCY 12 The English and Commonwealth cases unequivocally provide the if a company is insolvent then the directors are obliged to act in creditors interests (e.g. Liquidator of West Mercia Safetywear Ltd v Dodd (1988) 4 BCC 30 at 33 (CA) - where a company is insolvent, the creditors interests overrode the interests of the shareholders; Kinsela v Russell Kinsela Pty Ltd (1986) 4 ACLC 215; (1986) 10 ACLR 395) and also in Ireland (Re Frederick Inns Ltd ([1994] ILRM 387; [1993] IESC 1)13 13 Subsequent English cases have supported this approach, e.g., Re Pantone 485 Ltd [2002] 1 BCLC 266 at [69]; Gwyer v London Wharf (Limehouse) Ltd [2002] EWHC 2748; [2003] BCC 885 at [74]; Re MDA Investment Management Ltd [2003] EWHC 227 (Ch); [2004] EWHC 42 (Ch); [2005] BCC 783; [2004] 1 BCLC 217; Re Cityspan Ltd [2007] EWHC 751 (Ch); [2008] BCC 60 Although this might seem clear, the difficulty may be in determining whether the company was insolvent at a particular point.14 WHEN IS THERE A SHIFT IN DUTY? There are four categories when there might be a shift according to case law First, it is said that directors can be subject to the obligation when their company is : nearing insolvency (The Liquidator of Wendy Fair (Heritage) Ltd v Hobday [2006] EWHC 5803 at [66]) on the borderline of insolvency (Eastford Limited v Gillespie, Airdrie North Limited [2010] CSOH 132 at [22]) 14 on the verge of insolvency (Gwyer v London Wharf (Limehouse) Ltd [2002] EWHC 2748 (Ch); [2003] BCC 885; at [74]).15 Second, where the company is of doubtful solvency (Gwyer v London Wharf (Limehouse) Ltd [2002] EWHC 2748 (Ch); [2003] BCC 885; at [74]) 15 Third, where the company is subject to a risk of insolvency (Kinsela v Russell Kinsela Pty Ltd (1986) 4 ACLC 215 at 223; Winkworth v Edward Baron Development Ltd [1986] 1 WLR 1512)16 16 Fourth, there are other cases where no reference to insolvency is made at all and they have been content merely to say that the company must be in some financial predicament such as : A dangerous financial position (Facia Footwear Ltd (in administration) v Hinchliffe [1998] 1 BCLC 218 at 228) In a parlous financial state (Williams v Farrow [2008] EWHC 3663 (Ch) at [21]) Being financially unstable (Linton v Telnet Pty Ltd [1999[NSWCA 33; (1999) 30 ACSR 465) In financial difficulties (Re MDA Investment Management Ltd [2003] EWHC 227 (Ch); [2004] EWHC (Ch) 42; [2005] BCC 783 at [70])17 It is difficult to formulate principles The cases have said that a company can be in a dangerous position short of insolvency. However, the courts have not explained what this state would actually encompass. Notably courts have refused to be specific, e.g., the New South Wales Court of Appeal in Linton v Telnet Pty Ltd said that when directors should pay attention to the interests of creditors was dependent on the facts [1999[NSWCA 33; (1999) 30 ACSR18 The main issue is ascertaining at what point of time before insolvency occurs, that directors are obliged to act in the interests of creditors that needs to be examined. No decision has categorically stated when the obligation of directors is triggered. Courts have generally failed to be both consistent and precise 1819 WHAT WOULD A CLAIMANT BE OBLIGED TO ESTABLISH? Reference is likely to be had to the test that is likely to apply under s.172(1) and which follows the test that applied to the duty to act bona fide for the best interests of the company (Re Smith & Fawcett Ltd [1942] Ch 304) 19 Case law has provided that s.172(1) essentially provides the same duty (Re West Coast Capital (LIOS) Ltd [2008] CSOH 72; Cobden Investments Ltd v RWM Langport Ltd [2008] EWHC 2810 (Ch)).20 It is possible that when a director is subject to the duty in s.172(3) the same test that is used for s.172(1) will be applied with the appropriate modification for creditors. This is supported by the judgment of Leslie Kosmin QC (sitting as a deputy judge of the High Court) in Colin Gwyer & Associates Ltd v London Wharf (Limehouse) Ltd[2002] EWHC 2748 (Ch); [2003] BCC 885 at [87]. 2021 21 According to this case, if directors fail to take into account creditor interests when they should have done so, then the test provided for in the case of Charterbridge Corp Ltd v Lloyds Bank Ltd [1970] Ch 62.should be applied with the appropriate modifications for creditors. First, in Charterbridge Pennycuick J said that where the director against whom proceedings have been initiated had actually failed to consider whether the action that is the subject of complaint would be in the interests of the company, the court had to ask whether an intelligent and honest man in the position of a director of the company involved, could, in the whole of the circumstances, have reasonably believed that the transaction was for the benefit of the company.22 22 If directors failed to consider creditors interests when under the duty provided for in s.172(3) then to ascertain whether they are liable the court is to ask whether an intelligent and honest person in the position of the directors, could, in the whole of the circumstances, have reasonably believed that the action that is impugned was for the benefit of the creditors.23 Second, under Charterbridge directors could be held liable if the judge disbelieves the directors if they assert that they acted in the good faith belief that what they did was designed to promote the success of the company for the benefit of members. Similarly, a claimant might ask a judge to disbelieve a director who maintains that he or she acted, in good faith, in the interests of the creditors. 2324 ONE FURTHER ISSUE It is quite possible that companies might move in and out of insolvency or in and out of financial distress over a period time Difficulty for directors is knowing whether they are subject to the s.172(1) duty or the s.172(3) duty. If in doubt the wise thing to do might be act in the interests of creditors Unlikely that shareholders will bring a derivative action If company enters administration or liquidation the officeholder is more likely to bring proceedings 2425 WHOSE INTERESTS TO BE CONSIDERED? 25 It is the creditors as a class, and not a particular creditor or group of creditors : GHLM Trading Ltd v Maroo [2012] EWHC 61 (Ch) at [168].26 STANDING The duty is owed to the company (s.170) so creditors are not able to bring proceedings individually. Shareholders are not likely to seek permission to continue derivative proceedings 26 The only likely claimants will be a liquidator or administrator27 Section 172 overall is clearly seeking to achieve a reasonable balance between reducing the risk that creditors will not get paid and promoting the success of the company for the benefit of its members. 2728 CONCLUSION It is probable that any claimant is going to be a little more (or a lot more) circumspect when determining whether to take legal proceedings if all that can be established is that directors did not act in creditors interests when the company was in some form of financial difficulty that was short of insolvency. Where insolvency at the appropriate point can be established then a claimant might be more bold 28 Similar documents
Directors Duties During Insolvency (2nd ed) by Allens Arthur Robinson: 2007, Thomson Lawbook Co., ISBN 9780455223490. Pages: 349. Price: $135, softcover. and Company Directors Responsibilities to Creditors More information slaughter and may Nominee directors and insolvent companies
slaughter and may July 2011 Sarah Paterson, Partner and Maximilian Schlote, Trainee Solicitor Introduction A nominee director is a director appointed to the board of a company to represent the interests More information THE DUTY TO PROMOTE THE SUCCESS OF THE COMPANY : IS IT FIT FOR PURPOSE?
1 THE DUTY TO PROMOTE THE SUCCESS OF THE COMPANY : IS IT FIT FOR PURPOSE? I. Introduction Andrew Keay * It has been said that the underlying reason for the financial crisis of 2007-2009 and the attendant More information SOLVENCY AND ONLY SOLVENCY THE NEW WINDING UP REGIME
SOLVENCY AND ONLY SOLVENCY THE NEW WINDING UP REGIME Introduction Notwithstanding that Part 5.4 of the Corporations Act was introduced in its present form on 1 January 1993, it took until 2003 for there More information IN THE COURT OF APPEAL SPARKASSE BREGENZ BANK AG. and. In The Matter of ASSOCIATED CAPITAL CORPORATION
BRITISH VIRGIN ISLANDS CIVIL APPEAL NO.10 OF 2002 BETWEEN: IN THE COURT OF APPEAL SPARKASSE BREGENZ BANK AG and In The Matter of ASSOCIATED CAPITAL CORPORATION Appellant Respondent Before: His Lordship, More information KEMP & KEMP PRACTICE NOTES: INSOLVENT DEFENDANTS Simon Edwards
KEMP & KEMP PRACTICE NOTES: INSOLVENT DEFENDANTS Simon Edwards 1. Every so often, a claimant is faced with a defendant, corporate or personal, that is insolvent. Insolvency, now, takes many different forms: More information Company Insolvency and Claims for Personal Injuries
Company Insolvency and Claims for Personal Injuries Alison Padfield 1 Administration; Company voluntary arrangements; Corporate insolvency; Limitation periods; Liquidation; Personal injury claims; Register More information KEMP & KEMP PRACTICE NOTES: INSOLVENT DEFENDANTS PART II SIMON EDWARDS
KEMP & KEMP PRACTICE NOTES: INSOLVENT DEFENDANTS PART II SIMON EDWARDS 1. In the September issue of Kemp News I dealt with the mechanics of starting or continuing proceedings against an insolvent defendant. More information The board of directors of a company is primarily responsible for:
The board of directors of a company is primarily responsible for: Determining the company s strategic objectives and policies. Monitoring progress towards achieving the objectives and policies. Appointing More information 1. My remarks this morning, which are directed to the professional. negligence of financial advisers, will extend to the proposed new
SPAA SMSF NATIONAL CONFERENCE, BRISBANE 23-25 February 2011 PROFESSIONAL NEGLIGENCE 23 February 2011 The Hon Sir Anthony Mason AC KBE * Introduction 1. My remarks this morning, which are directed to the More information Bills Committee on Companies (Corporate Rescue) Bill. Insolvent Trading Provisions and Experience in Australia and the United Kingdom
Bills Committee on Companies (Corporate Rescue) Bill LC Paper No. CB(1)463/01-02(02) Insolvent Trading Provisions and Experience in Australia and the United Kingdom This paper sets out the target group More information PERSONAL LIABILITY FOR DEBTS, FOLLOWING CONTRAVENTION OF S.216
IMPORTANT NOTICE EXTRACTS FROM THE INSOLVENCY ACT 1986 AND INSOLVENCY RULES THE PROVISIONS OF SECTION 216, 217 and 235 OF THE INSOLVENCY ACT 1986 and Rules 4.226 to 4.230 RESTRICTION ON RE-USE OF COMPANY More information Fiduciary Duties 3. Skill and Care 3
Duties & Liabilities of a Director of a Company Incorporated Under the Laws of the Cayman Islands Contents Preface 2 1. Statutory Duties of a Director 3 2. Other Duties of a Director 3 Fiduciary Duties More information THE BROKER S LIABILITY FOR PREMIUMS: SHOULD SECTION 53 BE REFORMED? SUMMARY
Steel House 11 Tothill Street, London, SW1H 9LJ 140 Causewayside Edinburgh EH9 1PR THE BROKER S LIABILITY FOR PREMIUMS: SHOULD SECTION 53 BE REFORMED? SUMMARY S.1 In this Issues Paper we consider whether More information Guidance Note AGN 520.1
Guidance Note AGN 520.1 Fit and Proper Requirements Definition of a responsible person 1. The definitions of responsible persons cover those persons whose conduct is most likely to have significant implications More information GUIDANCE NOTES FOR DIRECTORS OF COMPANIES WHICH MAY BE MADE SUBJECT TO A FORMAL INSOLVENCY PROCEDURE. These notes are set out as follows: Page
GUIDANCE NOTES FOR DIRECTORS OF COMPANIES WHICH MAY BE MADE SUBJECT TO A FORMAL INSOLVENCY PROCEDURE These notes are set out as follows: Page Introduction 1 Insolvency 1 The period up to the start of the More information 216[4] [Penalty] If a person acts in contravention of this section, he is liable to imprisonment or a fine, or both.
Section 216 Restriction on Re-Use of Company Names 216[1] [Application] This section applies to person where a company [ the liquidating company ] has gone into insolvent liquidation on or after the appointed More information Fact sheet: Duties of directors of a company limited by guarantee
Fact sheet: Duties of directors of a company limited by guarantee Overview This fact sheet concerns the legal duties of directors and other officers of not-for-profit organisations that are incorporated More information THE HON TF BATHURST CHIEF JUSTICE OF NSW. IT TOLLS FOR THEE: ACCESSORIAL LIABILITY AFTER BELL v WESTPAC
THE HON TF BATHURST CHIEF JUSTICE OF NSW IT TOLLS FOR THEE: ACCESSORIAL LIABILITY AFTER BELL v WESTPAC BANKING AND FINANCIAL SERVICES LAW ASSOCIATION ANNUAL CONFERENCE MARRIOT HOTEL, GOLD COAST 29-31 AUGUST More information 434 SYDNEY LAW REVIEW [VOL 35:433
Before the High Court For Whom the Bell Tolls: Directors Duties to Creditors after Bell Anil Hargovan and Jason Harris Abstract It is now established, following High Court dicta in Walker v Wimborne and More information Chapter 12 ENGLAND AND WALES
CROSS-BORDER INSOLVENCY Chapter 12 ENGLAND AND WALES 1. Under general law English case law shows a clear tradition of assistance and co-operation with foreign courts so that foreign creditors may gain More information An Bille um Fhiachas Sibhialta (Nósanna Imeachta), 2015 Civil Debt (Procedures) Bill 2015. Meabhrán Mínitheach Explanatory Memorandum
An Bille um Fhiachas Sibhialta (Nósanna Imeachta), 2015 Civil Debt (Procedures) Bill 2015 Meabhrán Mínitheach Explanatory Memorandum AN BILLE UM FHIACHAS SIBHIALTA (NÓSANNA IMEACHTA), 2015 CIVIL DEBT More information INSOLVENCY CODE OF ETHICS
Definitions INSOLVENCY CODE OF ETHICS Authorising Body A body declared by Order of the Secretary of State for Trade and Industry or the Department of Enterprise, Trade and Investment to be a recognised More information CORPORATE RECOVERY & INSOLVENCY
Brochure Corporate-14:Layout 1 1/7/09 13:50 Page 1 CORPORATE RECOVERY & INSOLVENCY Directors Responsibilities Brochure Corporate-14:Layout 1 1/7/09 13:50 Page 2 Your responsibilities as a company director More information Challenging transactions in an insolvency
Challenging transactions in an insolvency DECEMBER 2011 For more briefings visit mourantozannes.com This briefing is only intended to give a summary and general overview of the subject matter. It is not More information United Kingdom. Tristan Hall Sarah Hills Sedgwick Detert, Moran & Arnold LLP. 1. Directors duties
Tristan Hall Sarah Hills Sedgwick Detert, Moran & Arnold LLP 1. Directors duties 1.1 Nature of the duties In the United Kingdom, directors owe fiduciary duties and a duty of care to their companies. Until More information PEAK DISTRICT NATIONAL PARK AUTHORITY Claimant. and. SECRETARY OF STATE FOR COMMUNITIES AND LOCAL GOVERNMENT Defendant. and BLEAKLOW INDUSTRIES LTD
IN THE HIGH COURT OF JUSTICE QUEEN S BENCH DIVISION ADMINISTRATIVE COURT IN THE MATTER OF THE TOWN AND COUNTRY PLANNING ( TCP ) ACT 1990 SCHEDULE 9, THE PLANNING AND COMPENSATION ACT 1991, THE ENVIRONMENT More information STATEMENT OF INSOLVENCY PRACTICE A RECEIVER S RESPONSIBILITY FOR THE MORTGAGOR S RECORDS. Contents. Introduction 1-3. Scope 4-7.
S1B STATEMENT OF INSOLVENCY PRACTICE A RECEIVER S RESPONSIBILITY FOR THE MORTGAGOR S RECORDS Contents Paragraphs Introduction 1-3 Scope 4-7 Principles 8 Compliance Standards On appointment 9-10 During More information CHAPTER 22 INSOLVENCY OF A TRUSTEE 1. TRUSTEESHIP
CHAPTER 22 INSOLVENCY OF A TRUSTEE 1. TRUSTEESHIP Exercise of trusteeship Liquidator 22 03 NOTE 7. DELETE AND REPLACE BY: Chirkinian v Arnfield [2006] EWHC 1917 (Ch); [2006] B.P.I.R. 1363 at [18] (liquidator More information Duties of the directors of companies in financial difficulties. slaughter and may. October 2010
Duties of the directors of companies in financial difficulties slaughter and may October 2010 Contents 1. Introduction 01 2. Overview 01 3. Practical guidance 02 4. Common law, statutory and regulatory More information Duties. Director. Your obligations and responsibilities. ebooks. What is a company director and what are director duties?
Director Duties Your obligations and responsibilities What is a company director and what are director duties? ebooks Please consider the environment before printing this ebook. www.podlegal.com.au Copyright More information 1. JURISDICTION. England
HOW OFFICERS / DIRECTORS OF FINANCIALLY DISTRESSED COMPANIES MAY SAFELY REORGANISE OR RESTRUCTURE THE FINANCIAL AFFAIRS AND OPERATIONS OF COMPANIES RATHER THAN PLACE THEM INTO LIQUIDATION PROCEEDINGS This More information Insolvency and. Business Recovery. Procedures. A Brief Guide. Compiled by Compass Financial Recovery and Insolvency Ltd
Insolvency and Business Recovery Procedures A Brief Guide Compiled by Compass Financial Recovery and Insolvency Ltd I What is Insolvency? Insolvency is legally defined as: A company is insolvent (unable More information DIRECTORS DUTIES IN THE ZONE OF INSOLVENCY
DRAFT PAPER ONLY NOT FOR CITATION DIRECTORS DUTIES IN THE ZONE OF INSOLVENCY A. INTRODUCTION The decision of Owen J in The Bell Group Ltd v Westpac Banking Corporation (No 9) 1 was remarkable for many More information BVI Financial Services Commission. Registry of Corporate Affairs. User Guides on the BVI Business Companies Act. User Guide No. 4
BVI Financial Services Commission Registry of Corporate Affairs User Guides on the BVI Business Companies Act User Guide No. 4 Directors and Their Responsibilities This is one of a series of User Guides More information QBE European Operations Professional liability
QBE European Operations Professional liability Disclosure of insurance details revisited QBE Professional Liability Disclosure of insurance details revisited/november 2013 1 Disclosure of insurance details More information INSOLVENT DEFENDANTS AND CLAIMANTS. 1. Corporate bodies (limited companies or LLPs) have a separate legal identity that
INSOLVENT DEFENDANTS AND CLAIMANTS Insolvent Defendants Corporate Insolvency Dissolution 1. Corporate bodies (limited companies or LLPs) have a separate legal identity that ceases to exist upon dissolution. More information Duty to prevent insolvent trading: Guide for directors
REGULATORY GUIDE 217 Duty to prevent insolvent trading: Guide for directors July 2010 About this guide This guide is for directors and their professional advisers. It may also be of interest to registered More information Comparison of Voluntary Liquidation Procedures in the British Virgin Islands, the Cayman Islands and Jersey
Comparison of Voluntary Liquidation Procedures in the British Virgin Islands, the Cayman Islands and Jersey Introduction In light of recent changes to UK tax on residential property it may in certain circumstances More information Lexis PSL Restructuring & Insolvency Practice Note
Lexis PSL Restructuring & Insolvency Practice Note Unwinding unlawful Stop Press: The Small Business, Enterprise and Employment Act 2015 (SBEEA 2015) received Royal Assent on 26 March 2015 and introduced More information Chapter 7. Directors Duties EARLY DRAFT 1 DIRECTORS AND COMPANY LAW. Introduction
EARLY DRAFT 1 Chapter 7 Directors Duties Introduction DIRECTORS AND COMPANY LAW While companies are treated by English law as being distinct legal persons, all of the activities of a company must necessarily More information The responsibilities and duties of a company director
The responsibilities and duties of a company director Page 1 Contents Introduction page 3 The role page 4 The general duties page 5 Other duties and responsibilities page 9 Indemnities and insurance page More information LIMITATIONS. The Limitations Act. being
1 LIMITATIONS c. L-16.1 The Limitations Act being Chapter L-16.1* of The Statutes of Saskatchewan, 2004 (effective May 1, 2005), as amended by the Statutes of Saskatchewan, 2007, c.28. *NOTE: Pursuant More information DIY MVL Workbook. 1800 246 801 svpartners.com.au. A company ceases to exist on deregistration. (s.601ad(1))
In the course of professional practice, practitioners may encounter instances where a solvent company is no longer required by its directors and members. Examples may include: A company is not operating. More information Recent changes to the Home Building Act, 1989 and Home Warranty Insurance
Recent changes to the Home Building Act, 1989 and Home Warranty Insurance David Andrews and Colin Grace Grace Lawyers Pty Ltd a legislative scheme intended to provide significant rights to consumers in More information insolvency newsletter
insolvency newsletter ISSUE 9 JUNE 2006 Contents 1. Technical Update 3 2. Regulatory Update 5 3. Legislation 6 4. Cases 9 Editor: John Davies, Head of Business Law e-mail: daviesj@accaglobal.com The Association More information DÁIL ÉIREANN. [No. 78a of 2014] [27 January, 2015]
DÁIL ÉIREANN AN BILLE FÁ GHLÉASANNA ÉIREANNACHA UM CHOMHBHAINISTIÚ SÓCMHAINNÍ, 2014 IRISH COLLECTIVE ASSET-MANAGEMENT VEHICLES BILL 2014 LEASUITHE TUARASCÁLA REPORT AMENDMENTS [No. 78a of 2014] [27 January, More information DUTIES OF DIRECTORS IN RELATION TO COMPANIES FACING FINANCIAL DIFFICULTIES
DUTIES OF DIRECTORS IN RELATION TO COMPANIES FACING FINANCIAL DIFFICULTIES This note summarises the current duties of directors of a company and the potential for them to incur personal liability in that More information Guide to the responsibilities of the directors of an insolvent company. Business Restructuring and Insolvency
Guide to the responsibilities of the directors of an insolvent company Business Restructuring and Insolvency 1 Contact Us Offices Henley Videcom House Newtown Road Henley-on-Thames Oxfordshire RG9 1HG More information Insurance Act 2015 CHAPTER 4. Explanatory Notes have been produced to assist in the understanding of this Act and are available separately
Insurance Act 2015 CHAPTER 4 Explanatory Notes have been produced to assist in the understanding of this Act and are available separately 6. 00 Insurance Act 2015 CHAPTER 4 CONTENTS PART 1 INSURANCE CONTRACTS: More information ---------------------------------------------------------------------------------------------- LIMITED LIABILITY PARTNERSHIP
---------------------------------------------------------------------------------------------- LIMITED LIABILITY PARTNERSHIP LAW DIFC LAW NO.5 OF 2004 ---------------------------------------------------------------------------------------------- More information pwc.com.au A guide to directors duties and responsibilities for non-listed public companies and proprietary companies in Australia
pwc.com.au A guide to directors duties and responsibilities for non-listed public companies and proprietary companies in Australia Contents 1 Executive summary 1 1.1 Sources of company law in Australia More information Corporate Insolvency Law In Singapore
Corporate Insolvency Law In Singapore The Legal Consequences of Corporate Insolvency Insolvency is a term generally used to describe a legal person s state of financial affairs. Specifically insolvency More information Hong Kong Cross-border insolvency: The law and development in Hong Kong
Hong Kong Cross-border insolvency: The law and development in Hong Kong by Simon Powell and Viola Jing, Latham & Watkins This article considers the corporate insolvency laws in Hong Kong to which a creditor More information Home Building Amendment (Insurance) Act 2009 No 24
New South Wales Home Building Amendment (Insurance) Act 2009 No 24 Contents Page 1 Name of Act 2 2 Commencement 2 Schedule 1 Amendment of Home Building Act 1989 No 147 3 Schedule 2 Amendment of Home Building More information Third Party Claims against Insurers The Irish Position. Key facts: Introduction. For further information please contact. The Irish Position
Third Party Claims against Insurers The Irish Position Key facts: There is no equivalent legislation to the UK Third Parties (Rights against Insures) Act 1930. Section 62 was designed to protect an injured More information Offender Rehabilitation Act 2014
Offender Rehabilitation Act 2014 CHAPTER 11 Explanatory Notes have been produced to assist in the understanding of this Act and are available separately 9. 75 Offender Rehabilitation Act 2014 CHAPTER 11 More information Akers and others v Samba Financial Group [2014] EWCA Civ 1516; [2014] WLR (D) 521
Peter Harris Akers and others v Samba Financial Group [2014] EWCA Civ 1516; [2014] WLR (D) 521. 5th May, 2015. Akers and others v Samba Financial Group [2014] EWCA Civ 1516; [2014] WLR (D) 521 CA: Longmore, More information An Overview of UK Insolvency Procedures and the Considerations for Banks with an Insolvent Customer
An Overview of UK Insolvency Procedures and the Considerations for Banks with an Insolvent Customer November 2011 1 An Overview of UK Insolvency Procedures and the Considerations for Banks with an Insolvent More information Forms of Corporate Insolvency
Forms of Corporate Insolvency There are five categories of insolvency procedure for companies: Company Voluntary Arrangement; Administration; Administrative Receivership; Creditors Voluntary Liquidation; More information CORPORATE GOVERNANCE AND KEY COMPANY LAW ISSUES IN CHALLENGING ECONOMIC TIMES
CORPORATE GOVERNANCE AND KEY COMPANY LAW ISSUES IN CHALLENGING ECONOMIC TIMES INTRODUCTION Directors stand in a fiduciary relationship to the company and there are general fiduciary duties imposed upon More information Directors accountability in funds management companies
Directors accountability in funds management companies The complex legal and regulatory framework governing funds management creates particular challenges in mapping and understanding the duties and liabilities More information A Guide to a Debt Settlement Arrangement ( DSA )
A Guide to a Debt Settlement Arrangement ( DSA ) May 2013 Contents Introduction... 2 What is a DSA?... 2 Eligibility... 3 What Type of Debts may or may not be included in a DSA?... 4 The DSA Process... More information Limitation an update on recent case law
Limitation an update on recent case law John Dickinson St John s Chambers An update covering recent cases on limitation periods, including consideration of whether a professional was under a continuing More information LEVEL 4 - UNIT 5 CORPORATE INSOLVENCY SUGGESTED ANSWERS JUNE 2015
LEVEL 4 - UNIT 5 CORPORATE INSOLVENCY SUGGESTED ANSWERS JUNE 2015 Note to Candidates and Tutors: The purpose of the suggested answers is to provide students and tutors with guidance as to the key points More information Guidance to the practical implications of the Paymex decision
VAT & Voluntary Arrangements Guidance to the practical implications of the Paymex decision The decision in Paymex Limited v. The Commissioners for Her Majesty s Revenue and Customs [2011] UKFTT 350 (TC) More information Productivity Commission Business Set-up, Transfer and Closure Draft Report: Public Submission due 3 July 2015
3 July 2015 Business Set-up, Transfer and Closure Productivity Commission GPO Box 1428 CANBERRA ACT 2601 By email: business.inquiry@pc.gov.au Dear Productivity Commission Productivity Commission Business More information Submission. Ministry of Economic Development. Draft Insolvency Law Reform Bill Discussion Document. to the. on the
Submission by to the Ministry of Economic Development on the Draft Insolvency Law Reform Bill Discussion Document 11 June 2004 PO Box 1925 Wellington Ph: 04 496 6555 Fax: 04 496 6550 1. INTRODUCTION 1.1. More information Comparison of Corporate Insolvency Procedures
Comparison of Corporate Insolvency Procedures There are five categories of insolvency procedure for companies in England, Wales and Northern Ireland. These are: Company Voluntary Arrangement (CVA) Administration More information Corporate guide: the duties and responsibilities of a company director
Corporate guide: the duties and responsibilities of a company director INTRODUCTION This guide provides directors of UK incorporated companies with a general overview of the statutory and other duties More information Your Responsibilities as a Director of a Company. www.moorestephenswa.com.au. Serious about Success
Your Responsibilities as a Director of a Company www.moorestephenswa.com.au Serious about Success www.moorestephenswa.com.au Introduction As a director of a company you have numerous responsibilities. More information Specialists at minimising risk exposure. Management Liability Insurance Policy Overview & Benefits
Specialists at minimising risk exposure Management Liability Insurance Policy Overview & Benefits Management Liability Insurance Policy Overview & Key Benefits Policy Overview It s possible your clients More information B e f o r e: SECRETARY OF STATE FOR THE HOME DEPARTMENT
Neutral Citation Number: [2009] EWHC 1888 (Admin) IN THE HIGH COURT OF JUSTICE QUEEN'S BENCH DIVISION THE ADMINISTRATIVE COURT Case No. CO/653/2007 Royal Courts of Justice Strand London WC2A 2LL Date: More information Consumer Insurance (Disclosure and Representations) Act 2012
Consumer Insurance (Disclosure and Representations) Act 2012 CHAPTER 6 Explanatory Notes have been produced to assist in the understanding of this Act and are available separately 5.75 Consumer Insurance More information DIRECTORS DUTIES: FINANCIAL CRISIS AND THE OBLIGATION TO CONSIDER THE INTERESTS OF CREDITORS INTRODUCTION
INTRODUCTION We are all familiar with the principle that directors have a general duty to act in the best interests of the company. In most situations where this is an issue, the company is usually treated More information THE LAW SOCIETY OF HONG KONG
THE LAW SOCIETY OF HONG KONG COMMENTS BY THE COMPANY AND FINANCE LAW COMMITTEE ("COMPANY COMMITTEE") AND THE INSOLVENCY LAW COMMITTEE ("INSOLVENCY COMMITTEE") ON THE COMPANIES (AMENDMENT) BILL 2000 1. More information Province of Alberta LIMITATIONS ACT. Revised Statutes of Alberta 2000 Chapter L-12. Current as of December 17, 2014. Office Consolidation
Province of Alberta LIMITATIONS ACT Revised Statutes of Alberta 2000 Current as of December 17, 2014 Office Consolidation Published by Alberta Queen s Printer Alberta Queen s Printer 5 th Floor, Park Plaza More information D irectors & O fficers Liability Insurance
Proposal for D irectors & O fficers Liability Insurance PROFESSIONAL RISKS 2nd Floor John Stow House 18 Bevis Marks London EC3A 7JB Tel: +44 (0) 20 7623 4957 Fax: +44 (0) 20 7623 4958-1- PROFESSIONAL RISKS More information CONTENTS PART 1: GENERAL...4 PART 2: COMPANY VOLUNTARY ARRANGEMENTS...5 PART 3: RECEIVERSHIP...8 PART 4: WINDING UP...11 CHAPTER 1 GENERAL...
INSOLVENCY LAW DIFC LAW No. 3 of 2009 CONTENTS PART 1: GENERAL...4 1. Title...4 2. Legislative Authority...4 3. Application of the Law...4 4. Date of enactment...4 5. Commencement...4 6. Interpretation...4 More information Advising and appearing in respect of applications concerning officeholders of companies in Administration/Liquidation
Maxim Cardew Year of Call: 2012 mcardew@maitlandchambers.com Profile Maxim practises in all areas of commercial chancery litigation. He is frequently instructed in the High Court and the County Court and More information Suggested answer to end of chapter problems, and Examiner s tips - by Christopher Symes
to end of chapter problems, and Examiner s tips - by Christopher Symes 2012 Reed International Books Australia Pty Limited trading as LexisNexis. Permission to download and make copies for classroom use More information Cayman Islands - Duties and Liabilities of Directors
Cayman Islands - Duties and Liabilities of Directors Introduction This Memorandum provides a summary of duties and liabilities of directors of companies incorporated under the laws of the Cayman Islands. More information GUIDE TO SCHEMES OF ARRANGEMENT IN THE CAYMAN ISLANDS
GUIDE TO SCHEMES OF ARRANGEMENT IN THE CAYMAN ISLANDS CONTENTS PREFACE 1 1. What is a Scheme of Arrangement? 2 2. How are Schemes used? 2 3. What Procedures must be followed? 3 4. What are the Benefits More information FINANCIAL SERVICES. Services for Companies in Financial Difficulty
Services for Companies in Financial Difficulty Insolvency procedures are varied and complex and the sooner we are consulted, the more options are likely to be available. HBG understand the anxiety which More information Derivative claims under UK company law and some related provisions of German law
Derivative claims under UK company law and some related provisions of German law by Frank Wooldridge and Liam Davies INTRODUCTORY REMARKS The bringing of derivative claims by the shareholders of an English More information Financing and refinancing in s11 of the Consumer Credit Act 1974: Consolidated Finance Ltd v Collins [2013] EWCA Civ 475
Alerter Finance and Consumer Credit 8 May 2013 Financing and refinancing in s11 of the Consumer Credit Act 1974: Consolidated Finance Ltd v Collins [2013] EWCA Civ 475 In a judgment handed down today, More information Comparison of Companies - Cayman Islands, British Virgin Islands and Jersey
Comparison of Companies - Cayman Islands, British Virgin Islands and Jersey Introduction The decision as to where to incorporate an offshore company can only be made based on the specific features of the More information The Essential Company Director In-depth guide
The Essential Company Director In-depth guide Icon or graphic 2 Running head The Essential Company Director All companies incorporated under the Companies Act 2006 (CA2006) must have a governing body most More information Improving Bankruptcy and Insolvency Laws Proposals Paper submission to Treasury from Herbert Smith Freehills
Improving Bankruptcy and Insolvency Laws Proposals Paper submission to Treasury from Herbert Smith Freehills 30 May 2016 ANZ Tower 161 Castlereagh Street Sydney NSW 2000 Australia GPO Box 4227 Sydney NSW More information 2003 No. 357 INSOLVENCY. The Insolvent Companies (Reports on Conduct of Directors) Rules (Northern Ireland) 2003 STATUTORY RULES OF NORTHERN IRELAND
STATUTORY RULES OF NORTHERN IRELAND 2003 No. 357 INSOLVENCY The Insolvent Companies (Reports on Conduct of Directors) Rules (Northern Ireland) 2003 Made - - - - - 27th July 2003 Coming into operation 5th More information Civil Law (Wrongs) (Proportionate Liability and Professional Standards) Amendment Act 2004
Australian Capital Territory Civil Law (Wrongs) (Proportionate Liability and Professional Standards) Amendment Act 2004 Contents Page 1 Name of Act 2 2 Commencement 2 3 Legislation amended 2 4 New chapter More information FINANCIAL SUPERVISION ACT 1988 LIFE ASSURANCE (COMPENSATION OF POLICYHOLDERS) REGULATIONS 1991 PART 1 INTRODUCTION
FINANCIAL SUPERVISION ACT 1988 LIFE ASSURANCE (COMPENSATION OF POLICYHOLDERS) REGULATIONS 1991 In exercise of the powers conferred on the Treasury by section 21 of the Financial Supervision Act 1988(a), More information GUIDELINES ON FIT AND PROPER CRITERIA
GUIDELINES ON FIT AND PROPER CRITERIA GUIDELINE NO: FSG-G01 Application of Guidelines These Guidelines set out the fit and proper criteria applicable to all relevant persons in relation to the carrying More information Thompson Jenner LLP Last revised April 2013 Standard Terms of Business
The following standard terms of business apply to all engagements accepted by Thompson Jenner LLP. All work carried out is subject to these terms except where changes are expressly agreed in writing. 1 More information The Limited Partnership Bill, 2010 THE LIMITED LIABILITY PARTNERSHIP BILL 2010 ARRANGEMENT OF CLAUSES PART I PRELIMINARY. Clause
THE LIMITED LIABILITY PARTNERSHIP BILL 2010 ARRANGEMENT OF CLAUSES 1 Short title and commencement. 2 Interpretation. PART I PRELIMINARY Clause PART II REGISTRAR AND REGISTRAR OF LIMITED LIABILITY PARTNERSHIPS More information Before : Mr Justice Morgan - - - - - - - - - - - - - - - - - - - - - Between :
Neutral Citation Number: [2014] EWHC 3848 (Ch) IN THE HIGH COURT OF JUSTICE CHANCERY DIVISION 1 Case No: HC12A02388 Royal Courts of Justice, Rolls Building Fetter Lane, London, EC4A 1NL Date: Tuesday, More information Liquidation of a German company A Consultinghouse Whitepaper
Liquidation of a German company A Consultinghouse Whitepaper This whitepaper provides general information to CEOs as well as to main decision makers about the process of winding down a German- based company More information The Duty of Solicitors to Give Tax Advice - A Rebuttal of the Reply
The Duty of Solicitors to Give Tax Advice - A Rebuttal of the Reply HE Editor has kindly provided me with the opportunity to respond to the T reply written by a correspondent to my article 'The Duty of More information DAVID NEWMAN, PARTNER MARELDA HIBBERD, PARTNER LIQUIDATORS AND LITIGATION
DAVID NEWMAN, PARTNER MARELDA HIBBERD, PARTNER LIQUIDATORS AND LITIGATION Duties and sources of obligations Pre-litigation obligations The decision to commence and continue litigation Funding the litigation More information THE BUY BACK BY A COMPANY OF ITS OWN SHARES. Prepared by Mark Silberman
1 THE BUY BACK BY A COMPANY OF ITS OWN SHARES Prepared by Mark Silberman 2 Contents THE BUY BACK BY A COMPANY OF ITS OWN SHARES... 1 INTRODUCTION... 3 DECISION CHART ON BUYBACK OF SHARES... 3 SECTION 48... More information 2017 © DocPlayer.net Privacy Policy | Terms of Service | Feedback