under the voidable transaction. Section 588FE of the Act is concerned inter alia with insolvent transactions. Section 588FF(3) provides that an application may only be made under subsection (1):  within three years after the relation back day; or within such longer period as the Court orders on an application under this  paragraph made by the liquidator within those 3 years. The 'relation back day' is defined by the Act and is essentially the day on a company is taken to be wound up. (ii) Extension of time section 588FF(3)(b) of the Act The Company was a dealer in photo-copiers and related products in New South Wales. It entered into leasing transactions with its customers as an undisclosed agent for various financiers, including Capital Finance and Capital Corporate. The Company was put into liquidation and the liquidator formed the view that various preference payments made to Capital Finance under the lease agreements were insolvent transactions of the Company under section 588FC of the Act. On 22 June 2004, the liquidator filed an application seeking an order directing Capital Finance to pay to the Company an amount under section 588FF(1) of the Act and this application listed various transactions. A further order sought that the period prescribed by section 588FF(3)(b) of the Act, within which any application in respect of any voidable transaction could be made, be extended. Capital Finance resisted the application on the basis that the Court did not have power to, nor should it as a matter of discretion, grant an extension of time under section 588FF(3)(b) of the Act because the application for an extension of time was made in a general form in relation to a class of transactions and therefore lacked sufficient specificity required by the Act. (iii) Joinder of Capital Corporation
under the voidable transaction. Section 588FE of the Act is concerned inter alia with insolvent transactions. Section 588FF(3) provides that an application may only be made under subsection (1):  within three years after the relation back day; or  within such longer period as the Court orders on an application under this paragraph made by the liquidator within those 3 years. The 'relation back day' is defined by the Act and is essentially the day on a company is taken to be wound up. (ii) Extension of time section 588FF(3)(b) of the Act The Company was a dealer in photo-copiers and related products in New South Wales. It entered into leasing transactions with its customers as an undisclosed agent for various financiers, including Capital Finance and Capital Corporate. The Company was put into liquidation and the liquidator formed the view that various preference payments made to Capital Finance under the lease agreements were insolvent transactions of the Company under section 588FC of the Act. On 22 June 2004, the liquidator filed an application seeking an order directing Capital Finance to pay to the Company an amount under section 588FF(1) of the Act and this application listed various transactions. A further order sought that the period prescribed by section 588FF(3)(b) of the Act, within which any application in respect of any voidable transaction could be made, be extended. Capital Finance resisted the application on the basis that the Court did not have power to, nor should it as a matter of discretion, grant an extension of time under section 588FF(3)(b) of the Act because the application for an extension of time was made in a general form in relation to a class of transactions and therefore lacked sufficient specificity required by the Act. (iii) Joinder of Capital Corporation
CORPORATE-LAW-ELECTRONIC-BULLETIN-March-2005.docx