Receivers Trading on at a Loss: Implications of Section 433 of the Corporations Act.

Autor: Moore, Jonathon
Předmět:
Zdroj: Insolvency Law Journal; 2018, Vol. 26 Issue 3, p125-133, 9p
Abstrakt: When a receiver is appointed to a company that conducts a business, the receiver may reasonably consider that it is appropriate to continue trading. Continued trading might be thought to maximise the chance of selling the business as a going concern. The receiver may also believe that the business can be traded profitably in the interim. Continued trading will inevitably utilise existing circulating assets to fund ongoing expenses. Often, it transpires that the business cannot be sold and the intervening trading by the receiver has produced significant losses. In those circumstances, what is the liability of the receiver to priority creditors under s 433 of the Corporations Act 2001 (Cth)? [ABSTRACT FROM AUTHOR]
Databáze: Supplemental Index