Hong Kong Case Law: Decisions & Judgments | LexChat

Hong Kong Case Law

Indemnities to liquidators
  • 11 Jan 1999

    IN RE GOODWAY LTD.

    Citation
    IN RE GOODWAY LTD.
    Court
    Court of First Instance
    Case number
    HCCW162/1998

    Because the proposed liquidators accepted indemnity terms (notably a clause requiring the guarantor's prior approval for drawing remuneration and a clause effectively requiring prior approval for exercise of powers) that created a real risk and appearance of loss of independence and control by a single major creditor, the court refused their appointment and ordered the Official Receiver to continue as liquidator; a Committee of Inspection was appointed; costs were ordered nisi against Pirelli Cables Ltd.