Floating charge invalidity applies to recent charges before winding up unless solvency is proven; cash consideration preserved. A floating charge created within the twelve months immediately preceding winding up is invalid unless the company was solvent immediately after creation; ... Summary
Floating charge invalidity applies to recent charges before winding up unless solvency is proven; cash consideration preserved.
A floating charge created within the twelve months immediately preceding winding up is invalid unless the company was solvent immediately after creation; however, cash paid to the company at or after creation in consideration for the charge is preserved together with interest on that amount at the notified rate.
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