New Zealand Case Law: Decisions & Judgments

Topic

Validity of liquidator appointment

Legal area

Court

4 May 2021

SMART v PHOTONIC INNOVATIONS LIMITED (IN LIQUIDATION) [2021] NZHC 972

Citation

[2021] NZHC 972
Court

High Court

The court exercised its discretion under s250 to terminate the liquidation as just and equitable despite a defective appointment, validated specified acts as covered by reg36 because they were done in good faith, appointed Poojitha Hafees Preena as director under s154, authorised payment of reasonable preservation costs and liquidation remuneration from shareholder-provided funds, and reserved leave for further directions; no general release from liability was granted.
15 Aug 2017

ZHANG AND ORS v KAMAL [2017] NZHC 1943

Citation

[2017] NZHC 1943
Court

High Court

The purported shareholder meetings and resolutions convened and relied upon by Mr Adams were invalid because they were not called by the board nor in compliance with s 121 and Schedule 1; consequently the appointment of the administrator, the issuance of 225 shares to Corporate & Prestige, the purported removal of Mr Zhang, and the appointment of Mr Kamal were invalid. The Court used its s 250 jurisdiction to terminate the liquidation and made consequential orders to rectify the register and remove those invalid entries while finding Mr Kamal invalidly appointed and ordering his removal.
23 Jul 2007

THE COMMISSIONER OF INLAND REVENUE V ALL WORKS WELLINGTON LIMITED HC WN CIV-2007-485-1222

Citation

openlaw-6191f9ca_06dd_4225_8cda_2256f6dd524b.pdf
Court

High Court

Because the written consent of the proposed liquidator was dated after the shareholders' resolution, the purported appointment was invalid under s 282; the Commissioner obtained leave under s 284 and established presumption of insolvency by an unpaid statutory demand and absence of response and advertising, so the Court ordered compulsory liquidation and appointed liquidators, approved remuneration and awarded costs.

New Zealand Case Law

SMART v PHOTONIC INNOVATIONS LIMITED (IN LIQUIDATION) [2021] NZHC 972

ZHANG AND ORS v KAMAL [2017] NZHC 1943

THE COMMISSIONER OF INLAND REVENUE V ALL WORKS WELLINGTON LIMITED HC WN CIV-2007-485-1222