Supreme Court clarifies balance sheet insolvency test
https://www.linklaters.com/en/insights/publications/2013/may/supreme-court-clarifies-balance-sheet-insolvency-test
BackgroundSupreme Court’S DecisionPractical Implications of This JudgmentCash Flow and Balance Sheet Insolvency: A Clear Dividing Line? Insolvency related Events of Default: This decision confirms that the s123(2) test is very fact specific. If, therefore, a party wishes to have a contractual termination right if their counterparty’s statutory balance sheet shows net liabilities, they should, rather than simply referring to s123(2) IA, either have an event of default referable to t... Published: May 13, 2013
Insolvency related Events of Default: This decision confirms that the s123(2) test is very fact specific. If, therefore, a party wishes to have a contractual termination right if their counterparty’s statutory balance sheet shows net liabilities, they should, rather than simply referring to s123(2) IA, either have an event of default referable to t...
Published: May 13, 2013
DA: 51 PA: 61 MOZ Rank: 77