Appeal against setting aside of statutory demand disputed as to amount of liability under contract.
Held: The guarantors’ liability under the guarantee was immediately payable by them, without the need for a demand, before service of the statutory demands.
Judges:
David Richards J
Citations:
[2007] EWHC 1401 (Ch)
Links:
Jurisdiction:
England and Wales
Citing:
Cited – In re J Brown’s Estate 1893
Chitty J considered whether a debt required a demand to have been made for it to become payable: ‘it is plain that a distinction has been taken and maintained in law, the result of which is that where there is a present debt and a promise to pay on . .
Cited – Bradford Old Bank Ltd v Sutcliffe CA 1918
A demand for payment is not necessary in order to make a present debt immediately payable, even if it is expressed to be payable on demand, unless it is a collateral debt. . .
Cited – MS Fashions Ltd v Bank of Credit and Commerce International SA CA 1993
BCCI contracted with three companies and their directors or others as sureties. Money was deposited with BCCI as security from the companies. Some agreements described the sureties as ‘principal debtor’ or contained personal covenants by them as . .
Cited – In re a Debtor (No 1 of 1987), ex parte the Royal Bank of Scotland CA 1989
A statutory demand as served showed an incorrectly calculated sum owed and was in the wrong form.
Held: The application to set the demand aside was refused. A statutory demand should not be set aside for a mere technicality.
Lord Justice . .
Cited – Stimpson v Smith CA 11-Mar-1999
The court was asked whether a guarantor who had made a payment discharging the guarantee without a formal demand but following negotiations with the creditor, and in circumstances where otherwise the creditor would probably have made a demand, could . .
Lists of cited by and citing cases may be incomplete.
Insolvency, Banking
Updated: 06 August 2022; Ref: scu.253583