Undue advantage in composition requires the advantaged creditor to hold that benefit in trust for co-creditors. Where multiple creditors agree to compound debts and one creditor, by a secret arrangement with the debtor, gains an undue advantage over the ... Summary
Undue advantage in composition requires the advantaged creditor to hold that benefit in trust for co-creditors.
Where multiple creditors agree to compound debts and one creditor, by a secret arrangement with the debtor, gains an undue advantage over the co-creditors, that creditor must hold the advantage so gained for the benefit of the other compounding creditors.
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