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    Set-off and insolvency
    2010-12-17

    In Nylex (New Zealand) Ltd (In Rec and in Liq) v Independent Timber Merchants Co-Operative Limited Justice Heath granted summary judgment to Nylex and rejected ITM's argument that it had a defence of equitable set-off relating to unpaid loyalty scheme obligations.

    Filed under:
    New Zealand, Insolvency & Restructuring, Litigation, Buddle Findlay
    Location:
    New Zealand
    Firm:
    Buddle Findlay
    Liquidators can require certain secured creditors to provide information
    2011-04-04

    A recent decision confirms that liquidators can require creditors and other persons with relevant knowledge about the affairs of the company in liquidation to provide information.

    Filed under:
    New Zealand, Insolvency & Restructuring, Litigation, Buddle Findlay, Liquidation, Liquidator (law)
    Location:
    New Zealand
    Firm:
    Buddle Findlay
    Personal liability of receivers
    2010-12-17

    In Stiassny v Commissioner of Inland Revenue the court considered whether the receivers of 2 companies trading together in partnership were personally liable for GST on the sale of partnership assets, and whether a claim could be made against the Commissioner of Inland Revenue for money had and received.

    Filed under:
    New Zealand, Insolvency & Restructuring, Litigation, Tax, Buddle Findlay, Goods and Services Tax (New Zealand)
    Location:
    New Zealand
    Firm:
    Buddle Findlay
    Insolvent corporate trustee's "empty shell" policy challenged
    2010-12-17

    ACC had contracted OPC to provide services. OPC's directors later established the OPC Trust, with OPC as the trustee, and 3 residuary trusts as beneficiaries.

    Filed under:
    New Zealand, Insolvency & Restructuring, Litigation, Buddle Findlay, Beneficiary, Trustee
    Location:
    New Zealand
    Firm:
    Buddle Findlay
    Guarantors not protected by alternative security
    2010-12-17

    The mere existence of a secured remedy against another party is not a substantial ground for refusing to allow a creditor to pursue a remedy against a guarantor.

    Filed under:
    New Zealand, Insolvency & Restructuring, Litigation, Buddle Findlay, Surety
    Location:
    New Zealand
    Firm:
    Buddle Findlay
    Assignment by liquidators - when is consent necessary?
    2010-12-17

    A liquidator may assign to a third party funder, among other things:

    1. the rights that are conferred on the liquidator under statute to bring a claim on behalf of the company. For example, rights accruing to the liquidator under the voidable transaction provisions of the Companies Act 1993
    2. a company's rights that exist at the time of liquidation.
    Filed under:
    New Zealand, Insolvency & Restructuring, Litigation, Buddle Findlay, Consent, Liquidation, Liquidator (law)
    Location:
    New Zealand
    Firm:
    Buddle Findlay
    Bankruptcy: canvassing other creditors not disqualifying conduct
    2010-12-17

    Bank B sought adjudication in bankruptcy of F.

    Filed under:
    New Zealand, Banking, Insolvency & Restructuring, Litigation, Buddle Findlay, Bankruptcy
    Location:
    New Zealand
    Firm:
    Buddle Findlay
    Residual powers of directors of a company in receivership
    2010-12-17

    The residual powers that directors of a company in receivership have to commence a claim by that company without the receivers' consent were recently considered by the High Court.

    Filed under:
    New Zealand, Insolvency & Restructuring, Litigation, Buddle Findlay
    Location:
    New Zealand
    Firm:
    Buddle Findlay
    Balance sheet insolvency in the United Kingdom
    2010-12-17

    A recent UK High Court decision on the issue of balance sheet insolvency will be of interest in New Zealand, despite the fact that the respective statutory solvency tests differ.  

    Filed under:
    New Zealand, United Kingdom, Insolvency & Restructuring, Litigation, Buddle Findlay, Interest, Balance sheet, High Court of Justice (England & Wales)
    Location:
    New Zealand, United Kingdom
    Firm:
    Buddle Findlay
    Time-zone liquidation issues - exchange rate and resolution date issues clarified
    2012-12-20

    The recent Singapore case of Re Lehman Brothers Finance Asia Pte Ltd (in creditors' voluntary liquidation) determined that the debts of a company in foreign currency, which had been admitted in proof by the liquidators, were to be converted at the exchange rate prevailing at the "resolution date". In this context, resolution date means the day the resolution was passed placing the company into liquidation.

    Filed under:
    Singapore, Insolvency & Restructuring, Litigation, Buddle Findlay, Liquidation, Liquidator (law), Lehman Brothers
    Authors:
    David Perry , Scott Barker , Willie Palmer
    Location:
    Singapore
    Firm:
    Buddle Findlay

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