Realisation of Corporate Assets

Question 1

MB Refrigeration

Answer 1

AIB permitted transactions after w/up. The transactions between the commencement and actual notice were valid

Question 2

Ashmark Limited

Answer 2

Immaterial if cheque was drawn post commencement - it matters if it was cashed

Question 3

Grays Inns

Answer 3

Bank allowed payment post commencement - no regard for creditors. Dispositions under 602. The bank was liable for the loss on foot of the error.

Question 4

Coutts

Answer 4

Grays not binding law - bank not liable for post commencement drawings - difference was this relates to payments to an overdrawn account

Question 5

Holicourt -v- BOI

Answer 5

Dispositions were held void firstly, COA - Bank acted as agent and 602 doesnt cover agency relations, just creditors. Simply missed the ad and the payments were valid

Question 6

Industrial services -v- UB

Answer 6

Failed to see ad - tough luck - purpose of act was to freeze the assets to be distributed pari pasu

Question 7

Express electrical -v- Beavis

Answer 7

Must ensure interest of creditors will not be prejudiced

Question 8

Tucon Process

Answer 8

608 - Fraudulent disposition - taking stock, expenditure in company account, proceeds to related company, settle director debts

Question 9

Devey Enterprises

Answer 9

Repay director loan, no timeframe for 608 prove fraud

Question 10

La Chatelaine

Answer 10

Supervalue - no dominant intention - 6 month prior to wind up

Question 11

Leo Getz

Answer 11

Classic Cars - Need dominant intention, solid grounds needed for fraudulent disposition under 608

Question 12

O’Connors -v- Nenagh

Answer 12

BOI charge created within 6 months of w/up to give BOI priority. Long way short of fraudulent disposition, intention to keep company going and not immediately repayable.