Setting aside corporate transactions

Question 1

Hill v Spread Trustee Company and Another 2006

Answer 1

The grant of security may constitute a TUV

Question 2

Re M Kushler Ltd 1943

Answer 2

Preference given if a company pays off a debt at a time when it is unable to pay it debts and that would have the effect of releasing the director of a PG

Question 3

Re Reynolds DIY Stores Ltd 2012

Answer 3

Automatic presumption to prefer if to a connected person

Question 4

Re preferences, the court cannot make an order setting aside such a transaction unless the company…

Answer 4

Was unable to pay its debts or becomes unable to pay its debts as a result of the transaction

Question 5

As regards avoidance of floating charges, is the lender’s intention relevant?

Answer 5

No

Question 6

Sands v Clitheroe 2006

Answer 6

No time limit and no precondition concerning the company’s ability to pay its debts within the meaning of s123 for a TDC

Question 7

Dickinson v NAL Realisations (Staffordshire) Ltd 2017

Answer 7

Share buyback can be a TUV/TDC