Sidestepping Limited Liability in Corporate Groups Using The Tort of Interference With Contract  

Oleh:

Edmundson, Peter

Jenis: Article from Journal - ilmiah internasional
Dalam koleksi: Melbourne University Law Review vol. 30 no. 1 (Apr. 2006), page 62-87.
Topik: liability; limited liability; interference; contract

Ketersediaan

Perpustakaan Pusat (Semanggi) Nomor Panggil: MM70 Non-tandon: 1 (dapat dipinjam: 0) Tandon: tidak ada

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Isi artikel

This article examines the tort of interference with contract. In particular it analyses the application of the tort to a holding company that ‘starves’ its subsidiary of funds. In this context the tort provides a potential mechanism to ‘sidestep’ the principle of limited liability. The elements of the tort are highly malleable and the tort is prone to expansion. Such expansion could erode the benefits of limited liability. For this reason the application of the tort in this context should be constrained with reference to the justifications of limited liability and courts should be reluctant to allow its application by a voluntary creditor who had other available mechanisms to protect their interests.

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