The Glasgow Pavilion, Ltd v. Motherwell [1903] ScotLR 41_73 (18 November 1903)
Cheques received by the company before allotment, which are subsequently honoured, constitute payment in cash for the purposes of section 4(1) of the Companies Act 1900, and thus the minimum subscription requirement was satisfied at the time of allotment.
- Citation
- [1903] ScotLR 41_73
- Parties
- Pursuer/appellant: The Glasgow Pavilion, Limited; Defender/respondent: William Motherwell
- Jurisdiction
- Scotland
- Judgment Date
- 18 November 1903
- Procedural Posture
- Civil Appeal / Appeal From Sheriff Court to Court of Session Inner House
- Outcome
- appeal allowed
- Legal Topics
- Allotment of Shares, Minimum Subscription, Payment by Cheque, Companies Act 1900
Case Brief
Summary, issues, holding and outcome
More case intelligence is available
Unlock the full research layer for this judgment.
Parties
The Glasgow Pavilion, Limited
Pursuer/appellant
William Motherwell
Defender/respondent
Procedural Posture
Civil Appeal / Appeal From Sheriff Court to Court of Session Inner House
Legal Issues
- 1 Whether cheques received but not yet honoured at the time of allotment constitute 'payment' under section 4(1) of the Companies Act 1900 for the purposes of minimum subscription.
Ratio Decidendi
Cheques received by the company before allotment, which are subsequently honoured, constitute payment in cash for the purposes of section 4(1) of the Companies Act 1900, and thus the minimum subscription requirement was satisfied at the time of allotment.
Court Disposition
appeal allowed
Orders
- Recall the interlocutor of the Sheriff-Substitute of Lanark dated 2nd July 1903.
- Find that the 500 shares were duly allotted to the defender and he is liable to pay the calls due thereon.
Full Case Text
Judgment text and source record
Sign in to read
Sign in to read the full judgment text
Sign in to read the full judgment text. Downloads and additional research tools may depend on your plan.
Sign in to read the full judgment