transactions at an undervalue
An administrator or liquidator may apply to the court for an order avoiding any transactions made at a significant undervalue in the two years before the administration or liquidation if the company was then (or as a result of the transaction became) unable to pay its debts as they fell due (section 238, Insolvency Act 1986).

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

Look at other dictionaries:

  • Undervalue transaction — An undervalue transaction is a transaction entered into by a company [Some legal systems also apply undervalue transactions to insolvent individuals] who subsequently goes into bankruptcy which the court orders be set aside, usually upon the… …   Wikipedia

  • transaction at an undervalue — An administrator or liquidator may apply to the court for an order avoiding any transactions made at a significant undervalue in the two years before the administration or liquidation if the company was then (or as a result of the transaction… …   Law dictionary

  • adjustment of prior transactions — where an individual has at a relevant time entered into a transaction at an undervalue, application may be made by the trustee of the bankrupt s estate for a court order restoring the position to what it would have been had the transaction not… …   Law dictionary

  • Corporate benefit — (sometimes referred to as commercial benefit) is the requirement under some legal systems that the directors of a company must exercise the powers [For these purposes, it is important to remember the distinction between objects (what the company… …   Wikipedia

  • Interest of the company — The interest of the company (sometimes company benefit or commercial benefit ) is a concept that the board of directors in corporations are in most legal systems required to use their powers for the commercial benefit of the company and its… …   Wikipedia

  • United Kingdom insolvency law — deals with the insolvency of firms in the United Kingdom. The primary pieces of legislation are the Insolvency Act 1986 and the Enterprise Act 2002.History*Bankruptcy Act 1542 *Statute of Anne Bankruptcy Act 1705Company lawHowever, there are… …   Wikipedia

  • Legal professional privilege (England & Wales) — In England and Wales, the principle of legal professional privilege has long been recognised by the common law. It is seen as a fundamental principle of justice, and grants a protection from disclosing evidence. It is a right that attaches to the …   Wikipedia

  • Bednash v. Hearsey — (also known as Re DGA (UK) Ltd ) [2001] [http://www.bailii.org/cgi bin/markup.cgi?doc=/ew/cases/EWCA/Civ/2001/787.html query=Bednash+and+v+and+Hearsey method=boolean EWCA Civ 787] is a UK company law case, that came to the Court of Appeal of… …   Wikipedia

  • Trading while insolvent (UK) — In many legal systems, once a company becomes insolvent, the directors have to take particular care. Under UK law, trading while insolvent can trigger several provisions under the Insolvency Act 1986 which may have the effect of making directors… …   Wikipedia

  • Trading while insolvent — is unlawful in a number of legal systems, and may result in the directors becoming personally liable for a company s assets. Under UK insolvency law trading once a company is legally insolvent can trigger several provisions of the Insolvency Act… …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.