TaxTMI Login
AI Drafter - (New and Powerful) ✕
Generate professional replies, appeals, opinions to Show Cause Notices, assessment orders, audit objections, and other legal communications using TaxTMI's AI Drafter.
Just a moment...
AI Drafter - (New and Powerful) ✕ Generate professional replies, appeals, opinions to Show Cause Notices, assessment orders, audit objections, and other legal communications using TaxTMI's AI Drafter.
Press 'Enter' to add multiple search terms. Rules for Better Search
Use comma for multiple locations.
---------------- For section wise search only -----------------
Accuracy Level ~ 90%
of 
Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of Press 'Enter' after typing page number.
Issues: Whether rent falling due before the commencement of winding up was payable only by rateable distribution, and whether rent accruing after winding up had to be paid in full to the lessors.
Analysis: The claim to rent was divided between the period before and the period after the commencement of winding up. Rent already accrued before winding up stood on the footing of an ordinary unsecured claim and was recoverable only by proof and rateable distribution among the creditors. Rent accruing after the company or liquidator remained in possession of the premises was treated differently, because the lease continued to operate with its burdens as well as its benefit. In the absence of any conflict in the Companies Act, the English principle distinguishing pre-winding-up and post-winding-up rent was applied.
Conclusion: Rent due up to 30 June 1934 was recoverable only by rateable distribution, but rent accruing from 1 July 1934 onwards was payable in full by the liquidator with interest as provided in the lease.
Ratio Decidendi: On a winding up, rent accrued before the commencement of liquidation is an ordinary provable debt, whereas rent accruing while the company or liquidator continues in possession under the lease is payable in full according to the lease terms.
TaxTMI 
