Mann v Goldstein

Mann v Goldstein
Court High Court
Citation(s) [1968] 1 WLR 1091
Case opinions
Ungoed-Thomas J
Keywords
Liquidation

Mann v Goldstein [1968] 1 WLR 1091 is a UK insolvency law case concerning the bringing of a winding up petition when a company is alleged to be unable to repay its debts.

Facts

Peter and Anita Mann sought an injunction against a winding up petition by Mr Sidney Goldstein and his wife, as well as Wallander Laboratories Ltd, on the ground that the debts were under dispute. The four people were equal shareholders in two hairdressing businesses, Joanita Ltd in Pinner, London, managed by Mr Mann, and Chairmaine Coiffeur d’Art Ltd in Haverstock Hill, run by Mr Goldstein. Wallander Ltd sold wigs They fell out, and negotiated to separated the businesses, but these failed. Mr Goldstein brought the winding up petition alleging that he was owed £1869 16s 3d in directors’ fees, declared by Joanita in 1959-1960 but not paid. Mr Mann did not dispute this, but argued that more than this was paid out in £15 weekly sums from 1965 to 1967. Wallands Ltd argued it was owed £340 16s 6d for goods from Charmaine Ltd’s subsidiary, while the Manns argued that this was in fact owed by another company, Charmaine Marguerite Ltd.

Judgment

Ungoed Thomas J held that the winding up petition could not succeed. It would be an abuse of process to ask for a winding up petition when a debt was bona fide under dispute. Here, the parties were actually disputing the existence of the debt, so the winding up petition had to be rejected. His judgment was as follows.[1]

See also

Notes

  1. [1968] 1 WLR 1091, 1096-1099

References

  • L Sealy and S Worthington, Cases and Materials in Company Law (9th edn OUP 2010)
  • R Goode, Principles of Corporate Insolvency Law (4th edn Sweet & Maxwell 2011)
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