27 Sept 2019
DHC ASSETS LTD v ARNERICH [2019] NZHC 1695
- Citation
- [2019] NZHC 1695
- Court
- High Court
The defendant, as sole director, breached s131 by authorising and procuring distributions and release of retention funds while DHC was a contingent/unpaid creditor and its claims remained live and pursueable under the contract's dispute procedures; the distributions were made without proper regard to creditor interests and notwithstanding that the engineer's determinations were not independent or final and dispute resolution remained available. Under s301(1)(c) the court ordered the director to pay the creditor directly the adjudicated sum of NZD 367,768.12 with contractual interest, and cost…