When can a liquidator get his or her costs and expenses?

by Maria Ratner, Clayton Utz The High Court has recently reaffirmed the principle that a liquidator is entitled to be paid his or her costs and expenses properly incurred in realising assets of a company in priority to a secured creditor. This is so even if the fund realised was derived from an action brought against a secured creditor (Stewart v Atco Controls Pty Ltd (in Liquidation) [2014] HCA 15). Further, it is not necessary for the Court to engage in a broad-ranging inquiry into the conduct of the parties before the liquidator’s costs and expenses can be paid.