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High Court rules insured's sale of a wrecked vessel was a transaction at an undervalue under s423 Insolvency Act 1986

• Edwards Wildman Palmer LLP
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• United Kingdom
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• July 28 2009

In Dornoch Ltd & Ors v Westminster International & Ors 2009 EWHC 1782 (Admiralty) Mr Justice Tomlinson held that the sale by Westminster International (Westminster) of the wreck of a vessel, the Fariway for the sum of 1000 Euros to a related company was a transaction at an undervalue under s423 of the Insolvency Act 1986 (which, in basic terms, provides that certain disposals made to connected persons for a value less than a fair value may be set aside by the court