A Company’s Liability in Knowing Receipt for the Fiduciary Breaches of its Errant Directors
This update covers the recent decision in Griffin Real Estate Investment Holdings Pte Ltd (in liquidation) v ERC Unicampus Pte Ltd [2018] SGHC 273. The High Court decided that where directors of the plaintiff company which had wrongfully caused it to extend an unauthorised loan to the defendant company, the defendant company, on the facts, incurred liability as a knowing recipient.
A Company’s Liability in Knowing Receipt for the Fiduciary Breaches of its Errant Directors