Alastair McNish of CP LLP was successful on a motion for summary judgment to enforce a promissory note given by a shareholder as part of a share purchase agreement. The case was unusual in that the parties had willingly negotiated a complicated – and extreme – set of interest provisions, whereby if the note was not repaid quickly, interest compounded and escalated rapidly. The Court accepted expert evidence on the proper calculation of interest, and found there was no reason not to enforce the terms of the promissory note. The Court also dismissed the defendant’s arguments that the agreement had been frustrated by external events, and that he should not be personally liable. The decision is a helpful reminder that parties will be held to their bargains, even when those bargains may seem odd in hindsight.
Alastair McNish
Bankruptcy and Insolvency
With over thirty years managing commercial and family disputes, we are well positioned to give practical and sophisticated advice in managing claims against insolvent debtors and trustees in bankruptcy on a range of commercial and personal bankruptcy issues.
Some of our most noteworthy cases involve commencing and responding to appeals of trustees’ decisions, removal and appointment of trustees and advising on a host of priority matters.
We also have a wide range of experience in identifying claims that may survive bankruptcy and can be successfully commenced and in dealing with non-compliant debtors.
However, what is often most important is advice. Planning ahead and developing strategies for trustees, creditors and debtors transcends understanding the technical intricacies of bankruptcy law. It requires experience and strategic thinking, which are critical to obtaining controlled and optimal results for our clients.