My business is owed money by a company that is now in liquidation. However they seem to still be open for business even though I’ve not been paid anything I’m owed. How is this possible?
Lawyer Answers (1): Answers from lawyers are general preliminary responses. They are not formal legal advice and cannot taken account of all your circumstances. They do not create a lawyer–client relationship.
Answer by Kelly Angus, Adelaide 5000 SA
- The liquidator may continue to trade if they believe this is in the creditors’ best interest for example where the business may be able to be sold as a going concern or where work-in-progress can be completed and sold.
- The liquidator has a duty to cease trading and wind up the affairs of the company as quickly but also as commercially as possible.