As a starting position, it is a company that is liable for breaching its contract, not its shareholders or directors. ...
As a starting position, it is a company that is liable for breaching its contract, not its shareholders or directors.
Where a court has ordered the winding-up of a company, a shareholder may be able to have the winding up terminated under section 482 of the Corporations Act 2001.
Many businesses struggle with managing cash flow and, in difficult economic times, it is not uncommon for things to reach the point where a customer just won’t pay. What are the legal options to recover payment?
If a director can exercise a right of set-off against a company in liquidation for a debt owed to the director or for a liability of the company to the director (which may be unascertained in amount or contingent), it may help to cancel out or significantly reduce the director’s
Under section 420A(1)(a) of the Corporations Act 2001 (Cth), when selling property of a corporation that has a market value, a controller must take all reasonable care to sell the property for not less than its market value. In the recent case of Boz One Pty Ltd v McLellan [2015]
It is common for the Commissioner of Taxation to issue a statutory demand against a company and express the debt as a single amount, being the total deficit debt stipulated on a Running Balance Account (RBA). No breakdown is provided in the statutory demand showing the actual composition of the
Where a mortgagor company is deregistered, a mortgagee exercising power of sale still owes a duty of care to the deregistered mortgagor.
Business negotiations sometimes end with the parties signing a Memorandum of Understanding (MOU) – contemplating further negotiations, with the intent that the MOU will be followed by a ‘formal agreement’ down the track.
In Devren Pty Ltd v Old Coach Developments Pty Ltd and Ors [2015] QSC 53, funds payable to a company were paid to other entities in accordance with the direction of Mr Clair, the purported managing director of the company.
In Allco Funds Management Limited v Trust Co (Re Services) Ltd [2014] NSWSC 1251, an inter-company loan transaction was challenged by a receiver appointed by the secured creditor to one of the companies.
When a company is facing short term financial difficulties the directors or shareholders may decide to make a loan to the company to pay wages.
When a loan is secured by guarantees given by more than one person, disputes can often arise between co-guarantors as to who should bear the burden of paying out the loan, and in what proportions.
Cooper Grace Ward acknowledges and pays respect to the past, present and future Traditional Custodians and Elders of this nation and the continuation of cultural, spiritual and educational practices of Aboriginal and Torres Strait Islander peoples.
Fast, accurate and flexible entities including companies, self-managed superannuation funds and trusts.