Trevan v Trevan & Ors [2010] NSWSC 330

Trevan v Trevan & Ors [2010] NSWSC 330

Trevan Car Sales was never contractually bound to buy back any shares from Lismore Car Wreckers (as trustee for Robert's family trust) in the absence of compliance with statutory buy-back procedures; thus, no provable debt arose and the liquidator's decision to admit Robert's proof of debt was wrong and must be reversed.

Jurisdiction
Australia
Judgment Date
27 April 2010
Procedural Posture
Corporations – Liquidation – Proof of Debt / Application to Reverse Liquidator's Decision; Equity Division, Corporations List Judgment
Outcome
Liquidator's decision reversed.
Legal Topics
['liquidation' 'proof of Debt' 'share Buy Back' 'binding Agreement' 'admission of Proof']
['corporations Law' 'insolvency Law'] ['liquidation' 'proof of Debt' 'share Buy Back' 'binding Agreement' 'admission of Proof']

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 1 Authorities cited 2 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Procedural Posture

Corporations – Liquidation – Proof of Debt / Application to Reverse Liquidator's Decision; Equity Division, Corporations List Judgment

Legal Issues

  1. 1 ['Whether there was a valid and binding agreement for the company to buy back shares from a shareholder' "Whether the liquidator's decision to admit the proof of debt should be reversed"]

Ratio Decidendi

Trevan Car Sales was never contractually bound to buy back any shares from Lismore Car Wreckers (as trustee for Robert's family trust) in the absence of compliance with statutory buy-back procedures; thus, no provable debt arose and the liquidator's decision to admit Robert's proof of debt was wrong and must be reversed.

Court Disposition

Liquidator's decision reversed.

Orders

  • ['Reverse the decision of the Second Defendant made on 20 November 2008 to admit the Proof of Debt of the Plaintiff in the amount of $250,160 for a share buy-back in Trevan Car Sales Pty Ltd (in liquidation).' 'Direct the Second Defendant to reject any proof of debt lodged by Lismore Car Wreckers Pty Ltd for an...