Law business organisation Essay Example | Topics and Well Written Essays - 2250 words - 1

Law business organisation - prove Example? 2 The section 33 (a) of Insolvency Act 1986 state s that a liquidator is appointed, believably by court, to handle some issues concerning the go with. These issues include but are not restricted to (i) settling all(prenominal) past financial obligations (contracts and debts) the company has incurred before the liquidation (ii) holding regular meetings with the creditors with the hope of providing them the latest reading about the companys progress (iii) and, continuing the companys business activities (s. 134 (5)). The liquidator is not expected to be concerned with any financial obligation or contract any of the lead plumbers, namely Charlie, Edwin, and Adam may have had before the company was formed on May 1. In other words, Plumbers Mate Ltd should not bother the liquidator to pay for the services offered to Adam before the company was established. This realization absolves the liquidator of any financial payment to Plumbers Mate Ltd , and Adam should be duly apprised to pay up his debt with the Plumbers Mate Ltd. Although, it is not indicated in the scenario that the service bought by Adam was later reverted to Plumbers testify Ltdthe new 3 There is no record in the scenario that Plumber Express Ltd borrowed money right off from any bank or financial institution, but the donation of a building worth 200,000 pounding by Charlie and Edwin buying a computer and printer from Computer Galore Ltd could be debited against the company. Hence, the liquidator should take care