Unsecured ordinary debts, Business Law and Ethics

Assignment Help:

UNSECURED ORDINARY DEBTS:

A secured creditor obtains payment (to the extent that his security is adequate i.e. if it exceeds in value the amount owing to him) because he has a valid prior claim to that security. Unsecured creditors are paid out of the remaining assets, i.e. the aggregate of:

(a)any surplus value obtained by secured creditors in realising the assets which are their security and paid over to the liquidator, and

(b)any assets which are not subject to charges given to secured creditors.
But two special claims have to be given their due priority, i.e.

(a)costs of winding up including the legal expemses and liquidator's remineration, and

(b)preferential unsecured debts.


Related Discussions:- Unsecured ordinary debts

Subsidiary legislation, SUBSIDIARY LEGISLATION: Moreover this is subor...

SUBSIDIARY LEGISLATION: Moreover this is subordinate or delegated indirect legislation. In fact section 2 of the Interpretation and General Provisions Act specified subsidi

Values, V alues Basic convictions or beliefs which are specific beh...

V alues Basic convictions or beliefs which are specific behaviors and out- comes are more desirable compare to others. Values are judgmental in which they include our ideas

What are intellectual property rights?, Question 1 What are cybercrimes? M...

Question 1 What are cybercrimes? Mention in detail what are considered as cybercrimes Question 2 What are Intellectual Property Rights? Explain in detail Question 3 What

Liability of retiring partner, Liability of Retiring Partner Whether u...

Liability of Retiring Partner Whether unless there is a special agreement for the contrary like a retiring partner can be held liable no more in respect of debts incurred prev

Legislation and legislative functions, Question : This is an extract of...

Question : This is an extract of the Mauritian Patents, Industrial Design and Trademarks Act 2002. 12. Patentable inventions (1) An invention shall be patentable under

Remedies of the ultra vires lender, Remedies of the Ultra Vires Lender: ...

Remedies of the Ultra Vires Lender:                          In Sinclair v Brougham (26) the House of Lords explained that no action or suit lies at law or in equity to recove

Matters and reports, Matters and Reports: The matters and reports to b...

Matters and Reports: The matters and reports to be stated in a prospectus may be summarised as follows: 1.      The Matters The matters to be stated in a prospectus are:

Procedure for registration of trade unions, Question 1: (a) The Employ...

Question 1: (a) The Employment Relations Act does not apply to all categories of workers. Describe. (b) What is the main procedure for registration of trade unions? Qu

Name the legislations passed regarding state succession, There are certain ...

There are certain legislations passed regarding state succession. For example, The continuance of legal Proceedings Act 1950; The Pakistan Currency Act 1950; The Pakistan

How an offer differ from an invitation to treat, Question 1: Write brie...

Question 1: Write brief notes on the following contractual terms:- (a) How an offer differ from an invitation to treat. (b) The principles governing goods wh

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