Latest Legal Commentaries
Friday, September 13, 2024
Is there any hope for the next America's Cup being held in Auckland?
I begin this piece with an apology to New Zealand readers. My assumption is that there is still interest in the America’s Cup. All the evidence is however that New Zealanders feel betrayed by the decision of Team New Zealand (aided by the officers of the Royal New Zealand Yacht Squadron) to take the Cup to Barcelona and that they have switched off from a team that calls itself Team New Zealand but no longer credibly represents New Zealand. Significantly, a third of the membership of the Squadron resigned or refused to renew their membership, which has More...
Friday, September 22, 2023
Directors’ Duties to Creditors in an Insolvency Situation
Notes of lecture to Lawyers and Accountants specializing in Trust law (19 September 2023)
Trading while insolvent
Two-fold insolvency test: (1) balance sheet (assets and liabilities) (2) liquidity (paying debts as they fall due
What are directors’ duties
largely statutory – originated in Chancery Courts in England as fiduciary in nature – directors entrusted with company assets. (The leading exposition of directors’ duties was that of Romer J in Re City Equitable Fire Insurance Company Ltd. [1925] 1 Ch. 407: duties are fiduciary in nature but directors are not trustees (at 426).)
Companies Act 1993, (relevantly to present discussion) sections More...