Previously, fraudulent or improper conduct was used because the set off for piercing the company veil.
Cognizant of the interesting instances we live in, we decided to give attention to insolvency matters on this edition of our Newsletter. In a current landmark ruling in the case ofEmbakasi Management Limited & eight others v Imperial Bank Limited & another KECA 7 , the Court of Appeal applied a somewhat interesting exception to the doctrine of separate legal personality and privity of contract. It held that a financial institution might train rights of set off against associated corporations on the idea of frequent directorship and customary shareholding, despite the very fact that the related companies are not parties to the set off settlement between the bank and the borrower. Currently Boasting over ninety Law Firms in 60 countries with 4500 plus legal professionals in 170 offices. We have looked at considerations for administrators of financially distressed entities, principles for efficiently restructuring insolvent entities, and at fascinating and informative decisions from Kenyan courts on insolvency matters. The precedent-setting case displays a dramatic departure from the standards applied when piercing the corporate veil. MI is amongst the oldest and main Global Independent Law Firm Networks having been based in 1987.
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