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PREFERENTIAL DEBTS:
These unsecured debts which rank ahead of a floating charge and non-preferential debts are:(a) one year's taxes, i.e. corporation tax, PAYE income tax deducted, rates, VAT unpaid at the "relevant date". The relevant date is defined as:i. the date of the order for compulsory liquidation (or any earlier order for appointment of a provisional liquidator); orii. the date of passing the resolution to wind up voluntarily.If more than one year's tax is outstanding the Income Tax Department may select whichever year yields the largest amount of corporation tax; in other cases it is the latest year's tax which is a preferential debt;(b) wages and salary of an employee, i.e. clerk, servant, workman or labourer (including commission or piece work payments) of the four months up to the relevant date limited to a maximum of four thousand shillings owed to each individual employee, accrued holiday pay and employer's National Social Security Fund (NSSF) contributions. A director is not an employee in respect of a claim for unpaid fees - but he may be in respect of salary if he has a contract of service.
Question 1: (a) Explain what you understand by the following legal terms under the Employment Relations Act - (i) Collective bargaining (ii) Collective agreement (iii
1. Sometimes laws are created that are done for ethical reasons. For instance, it is wrong to pollute, so Congress passed the Environmental Protection Act, which punished those tha
Revival of a Dissolved Company: Liquidation leads on to dissolution of the company. The court may, however, within the ensuing two years order that dissolution be rescinded a
Position in Relation to the Company: In 1882 Lord Esher in Barnett, Hoares & Co v South London Tramsways Co stated that: "A secretary is a mere servant; his position is tha
Presumed Agency or from Cohabitation Whether a woman who is living with a man is deemed that be his agent for purposes of acquire necessaries to the family; marriage is not n
QUESTION 1 Successful Contract Administration requires the preparation of a good contract management plan. Describe the steps undertaken to prepare such a plan? QUESTION 2
Balance sheet: S.148(2) utilize the directors to prepare and lay before the company in simple meeting a balance sheet as at the date to such that the profit and loss account,
Problem I. Sandy has been working for Bean Canning Ltd for 9 years. Last Monday Sandy was called to the Manager's Office and verbally informed that her employment was termi
Rights of Guarantor Against Creditor Consequently the rights of the guarantor are: like (a) Further at any time after that the guaranteed debt such has become due and such prev
Commitment of Agent - Agency Law However responsibilities of an agent for the principal are: as; (a) Care and skill However to exercise due diligence in such performance of hi
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