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Curing defects in a members’ winding up

In a members’ voluntary winding up, the Court exercised its powers under s 1322 of the Corporations Act 2001 (Cth) and s 90-15 of the Insolvency Practice Schedule (Corporations) to cure issues arising from the passing of important members’ resolutions by power of attorney.

IWC Industries Pty Ltd v Sergienko

In resolving the determination of a priority dispute between a beneficiary of a trust and an equitable mortgagee, the Court applied principles regarding “postponing” conduct to beneficiaries (and the rule in Shropshire’s case) and considered the relevance of surrounding commercial circumstances, including the failure to caveat.