Claiming a Pound of Flesh as a Contingent or Prospective Creditor Under the Companies Act
43 Pages Posted: 26 Feb 2007
This article examines the concepts of a "contingent" creditor and a "prospective" creditor in the Companies Act and the Companies (Winding Up) Rules 1969 in the light of existing case authority. In the process it attempts to define the outer boundaries of these concepts. Some practical considerations and problems in making a claim against a company as a contingent or prospective creditor are also examined. Particular attention is paid to the problem of proving non-contractual claims for unliquidated damages in the winding up of an insolvent company.
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