https://www.taxtmi.com/caselaws?id=421761 When a liquidator incurs preservation or salvage expenses for a secured asset with the secured creditor's consent, and the creditor seeks to realise its security outside liquidation, those costs are not shifted to the liquidation estate; the creditor must bear the proportionate expense attributable to the benefit received. The tribunal also upheld litigation costs against the secured creditor where the appeal prolonged a dispute over reimbursement for expenses incurred for the creditor's benefit. The decision affirms that a secured creditor cannot enjoy asset protection during liquidation and simultaneously avoid the corresponding preservation and legal costs. en-us Fri, 29 Apr 2022 00:00:00 +0530 Mon, 02 May 2022 08:41:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=421761 When a liquidator incurs preservation or salvage expenses for a secured asset with the secured creditor's consent, and the creditor seeks to realise its security outside liquidation, those costs are not shifted to the liquidation estate; the creditor must bear the proportionate expense attributable to the benefit received. The tribunal also upheld litigation costs against the secured creditor where the appeal prolonged a dispute over reimbursement for expenses incurred for the creditor's benefit. The decision affirms that a secured creditor cannot enjoy asset protection during liquidation and simultaneously avoid the corresponding preservation and legal costs. Case-Laws Insolvency and Bankruptcy Fri, 29 Apr 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=421761