16 Apr 2014
D GRANT and S KHOV as liquidators of Insulae Building Consultants Limited (In Liquidation) v NAUHRIA PRECAST LIMITED [2014] NZHC 800
- Citation
- [2014] NZHC 800
- Court
- High Court
The continuing business relationship began on 7 February 2011 and ran to the final payment, therefore all payments were part of a s292(4B) running account; the liquidators could not validly pick a peak indebtedness date within that two year period to isolate recoverable transactions; NPL's unregistered security was prima facie effective against unsecured creditors under the PPSA and there was no evidence of preferential payments; NPL had an arguable change of position defence; accordingly the liquidators' recovery application must be dismissed.