18 Feb 2015
ALLIED CONCRETE LIMITED v JEFFREY PHILIP MELTZER AND LLOYD JAMES HAYWARD AS LIQUIDATORS OF WINDOW HOLDINGS LIMITED (IN LIQUIDATION) [2015] NZSC 7
- Citation
- (2015) 13 TCLR 833
- Court
- Supreme Court
The Supreme Court held that 'gave value' in s 296(3)(c) includes antecedent value (including satisfaction/release of an antecedent debt) provided the creditor proves it acted in good faith and had no reasonable grounds to suspect the company's insolvency; accordingly creditors paid for antecedent debts can invoke the s 296(3) defence and payments in the appeals were not recoverable by the liquidators.