BANKRUPTCY AND INSOLVENCY – appeal from decision of Federal Circuit and Family Court of Australia (Division 2) – where transfers made by a person who later became bankrupt from his current account to a loan account held by a company – whether the transfers may be avoided on the basis that each transfer constituted a “payment of money” within the meaning of ss 120 and 121 of the Bankruptcy Act 1966 (Cth) – “payment of money” bears its ordinary meaning and the mere fact of receipt of value, despite intermediary steps, is sufficient to constitute a payment of money – no defence to the avoidance of the transfers by reason of reg 31 of the Bankruptcy Regulations 2021 (Cth), double recovery or set-off
PRACTICE AND PROCEDURE – whether the proceedings ought to have been stayed as an abuse of process – whether there was a failure to comply with the rule in Browne v Dunn in relation to the issue of whether there was an agreement to forbear suing the bankrupt in negligence – ample notice given of intention to challenge existence of agreement and direct challenge to the witnesses in cross-examination – whether pre-judgment interest ought to be awarded on the judgment in circumstances where it was not pleaded
Original article available at: https://www.judgments.fedcourt.gov.au/judgments/Judgments/fca/full/2023/2023fcafc0142
For more information, see the original judgement.
