Distribution of surplus assets, Business Law and Ethics

Assignment Help:

Distribution of Surplus Assets:

If the debts are paid in full the liquidator should apply what remains in repayment of capital paid on shares and then distribute any residue to those entitled to the surplus.  Unless otherwise stated all shares rank equally.  But the articles often provide that preference share capital is to be repaid in priority (with the implication that preference shares do not carry a right to participate in any surplus left after all paid up share capital has been paid).

A company may (by its memorandum or articles or by a resolution passed in general meeting) authorize distribution of assets (after payment of debts which must have priority) not to members but to, for example, a charity or to employees of the company.  Payments to employees made after the company has ceased to carry on or has sold its business are not within its powers

Parke v. Daily News Ltd.


Related Discussions:- Distribution of surplus assets

Explain the mode of acquisition - occupation, Explain the mode of acquisiti...

Explain the mode of acquisition - occupation The mode of acquisition is occupation. It is a means by which a State can acquire territory which belongs to no other entity. The o

Harm both companies'' reputations, Part of the client's contract clearly st...

Part of the client's contract clearly states that negative publicity will not be tolerated on any actions connected to the temp agency. You know that this situation can harm both c

Standard of proof in civil cases, Standard of proof in civil cases: Th...

Standard of proof in civil cases: Therefore the standard of proof in civil cases is on a preponderance of probabilities or on a balance of probabilities.  So it must be more p

State the theory of international antitrust, State the theory of internatio...

State the theory of international antitrust A fourth approach is the allocation of jurisdiction over conduct with multijurisdictional effects to one agency by another agency th

Arbitration is overriding condition in business contracts, QUESTION 1 A...

QUESTION 1 Arbitration is an overriding condition in all business contracts. Without a clause for arbitration business relationship is bound to suffer. Critically examine this

Re london and general bank, RE LONDON AND GENERAL BANK:           An a...

RE LONDON AND GENERAL BANK:           An auditor represented a confidential report to the directors calling their attention to the insufficiency of the securities in which the

Case, Corgi was the breeder of prize-winning pedigree dogs that often sold ...

Corgi was the breeder of prize-winning pedigree dogs that often sold for very high prices. Reynolds, a wealthy businessman who had recently retired, decided to purchase one of thes

Trade unions - unincorporated associations, Trade Unions:             ...

Trade Unions:                   Trade Unions are registered under s.11 of the Trade Unions Act 1952 with the primary object of regulating the  relations between employees and

Rationale of centralized and decentralized bargaining, Question 1: i) ...

Question 1: i) What is the rationale of centralized and decentralized bargaining? ii) Give examples of benefits associated with centralized bargaining. iii) Give exam

Calculate the facts in law, Mr. Hellerstein is a professor at Tahoe Law Sch...

Mr. Hellerstein is a professor at Tahoe Law School located in Tahoe California. He lives in Nevada and commutes to Tahoe Law School, which is only a 50-mile, commute one way.  Duri

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd