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Full Description
The book provides an analytical exposition of the law concerning directors' liability for the losses sustained by their companies' creditors, when the directors' companies are in financial distress or become insolvent. It is a detailed one-stop resource for obtaining a good understanding of the law which has developed from legislation and case law. In particular, there is a detailed consideration of what needs to be proved, what defences there are, and what might be the issues of concern for all parties.
A doctrinal method is adopted and there is extensive analysis of the relevant legislation and case law. Rather than merely referring to cases to support propositions, the discussion considers many of the cases in context and in depth and their relevance to the aim of the book. The book also endeavours to provide views, in a practical way, on aspects of the law and it identifies problems and how they may be addressed.
Of interest to legal practitioners and insolvency practitioners alike, in addition the book will be useful to directors, government officials and academics.
Contents
Part A - Introduction 1. Background. 2 Directors. 3 Creditors. 4 Claimants and Actions. Part B: Fraudulent Trading. 5 Background and Aim. 6 Fraudulent Trading: The Provision and its Scope. 7 Intent to Defraud and Fraudulent Purpose. Part C: Wrongful Trading. 8 Wrongful Trading: Background, Aims and Rationale. 9 An Exposition of the Wrongful Trading Provision and Its Scope. 10 The Wrongful Trading Defence. 11 Relief From Liability. Part D: The Obligation to Consider the Interests of Creditors. 12 The Development of the Obligation. 13 The Nature of and Rationale for the Obligation. 14 When Does the Obligation Arise? 15 Complying With the Obligation. 16 Commencing Proceedings and Determining Liability. 17 Relief From Liability. Part E: Diminution of Company Funds. 18 Unlawful Distributions
