18 May 2011
PROVIDA FOODS LIMITED V FOODFIRST LTD HC HAM CIV 2009-419-1581
- Citation
- openlaw-4b0038e9_1147_487d_ba64_2b6a5c403a81.pdf
- Court
- High Court
The statutory demand was set aside on terms because Provida established an arguable contractual set-off/contingent claim (RDA entitlement) and an arguable s174 complaint such that the debt was effectively secured; however Provida's primary causes of action for breach of constitution and duty would not survive strike-out because the alleged losses are company losses not personal shareholder losses (Foss v Harbottle/Prudential) and there is insufficient basis to grant the extraordinary remedy of awarding full credit of RDA absent liquidation; practical security was required given directors' del…