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Company goes into liquidation shortly afterwards

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E’s travel company is in financial difficulties, and an employee D, with whom he was on friendly terms, agrees to put up her flat as collateral security for an overdraft. The bank advises her in writing to take independent legal advice, but she does not do so. The overdraft is granted but the company goes into liquidation shortly afterwards, and the bank seeks possession of D’s flat. What do you think the court decided?

Reference no: EM131635638

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