Covacich v Riordan - [1994] 2 NZLR 502

Company law — Debentures — Voluntary winding up of company — Whether floating charge in debenture automatically crystallised before winding up commenced — Whether trigger event under automatic crystallisation clause in debenture needs to be overt positive act by debenture holder — Effect on priorities as between debenture holder and liquidator — Whether a liquidator entitled to be paid his costs and expenses arising out of the liquidation in priority to the debenture holder's claim to the proceeds of sale upon a realisation of the company's assets — Companies Act 1955, ss 299 and 308.