Dispute Resolution Harwood Andrews Dispute Resolution Harwood Andrews

High Court clarifies the circumstances in which the limitation period for bringing voidable transaction claims may be extended

Section 588FF(1) of the Corporations Act 2001 (Cth) (Act) allows liquidators to apply to a court for orders in relation to voidable transactions.  Liquidators commonly seek to use this provision to “claw back” unfair preferences to particular creditors, but it also covers claims in respect of uncommercial transactions, unfair loans and unreasonable director-related transactions.

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Dispute Resolution Harwood Andrews Dispute Resolution Harwood Andrews

Shareholder disputes – Supreme Court takes alternate approach

Many small to medium sized businesses face disputes between shareholders.  Often these shareholders are family members.  Shareholder disputes are notoriously expensive to resolve and typically take the form of “oppression” claims commenced in the Supreme Court of Victoria under the provisions of s 233 of the Corporations Act 2001 (Cth).  Although individual disputes will differ, all these disputes have in common allegations that the affairs of a company have been conducted in an oppressive manner.

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