On 11 September 2024, the High Court (Gageler CJ, Edelman, Steward, Gleeson and Beech-Jones JJ) handed down Morgan v McMillan Investment Holdings Pty Ltd [2024] HCA 33.
Winsome Hall has published an article in Volume 23 (Issue 7/8) of the LexisNexis Insolvency Law Bulletin reporting on the case:
The High Court of Australia in 'Morgan v McMillan Investment Holdings Pty Ltd' has provided guidance on the nature of the particular property that may be relied upon for the purpose of satisfying the court to exercise its discretion under section 579E(1)(b)(iv) of the 'Corporations Act 2001' (Cth) to make a pooling order, and the connection that property must have to the business jointly carried on by two or more companies. "Pooling" is a practice where the affairs of multiple companies within a group of companies in liquidation are treated as if they were in a single external administration, so that the assets and liabilities of the companies are "pooled" and can be used to meet creditor claims across the group in a winding up.
Read Winsome's case note here.
