MacDonald and another v Carnbroe Estates Ltd

Insolvency – Liquidation – Gratuitous alienation – Adequate consideration. Court of Session: In an action in which the liquidators of a company which had sold a property, its principal asset, to the defender for £550,000, challenged the transaction as a gratuitous alienation, maintaining that the market value of the property was roughly double the purchase price, the court concluded that the defender had established that £550,000 did constitute adequate consideration for the property.

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