Anglo Petroleum v TFB (Mortgages) Ltd [2008] 1 BCLC 185
Country:
United Kingdom
Reviewed By Oxbridge Law Team
Updated 2024-01-04 07:05:46 UTC
Target company owed money to parent company. Target entered into agreement with parent whereby it agreed repayment schedule for some of the debt and granted security over its assets; in return, parent wrote off rest of the debt. On same day, purchaser bought target company.
Was later argued that security agreement was financial assistance to purchaser.
Held
As matter of commercial reality, security agreement was price target company had to pay for obtaining a reduction in its debt
Thus was not financial assistance.
Any comments or edits about this case?
Get in touch Similar cases
MT Realisations Ltd (in liq) v Digital Equipment Co Ltd
Purchase acquired a target company from the vendor. Vendor assigned purchaser the benefit of an on-demand loan due from the target company; purchaser agreed to pay vendor for the assignment of loan....
Chaston v SWP Group Plc
Defendant was director of a subsidiary of a parent company which was subject to a takeover bid. Subsidiary company incurred liability to pay accountants’ fees in respect of the transaction (£20,000);...
Brady v Brady
Group of family-run private companies was in deadlock due to family disputes. Family sought to resolve this and ensure continued survival of businesses by dividing them, which involved transfer of va...
PaO On v Lau Yiu
Contracts require an exchange of value—consideration—to be valid. This can be goods, services, or promises, ensuring each party gains something from the deal. Promising to do something you're already...
Dyment v Boyden
Partnership within a corporate shell was dissolved; one of three shareholders took the other two’s shareholdings, and other two took exclusive ownership of business premises which were leased to comp...
Ambitious and intelligent students
choose Oxbridge Notes.
- Customer Support
- Sellers FAQ
- Contact Us
- Privacy Policy
- Terms and Conditions
©2024 Oxbridge Notes. All right reserved.