Re Elvin ex parte Sandilands - [1990] 3 NZLR 124

Bankruptcy and insolvency — Bankruptcy notice — Application to set notice aside — Inspector of Factories, acting on behalf of employees, obtained judgment for underpaid wages and issued bankruptcy notice — Debtors issued proceedings against Department of Labour seeking damages for equal amount alleging negligent advice — Debtors applied to set notice aside on ground that they had counterclaim or cross demand — Whether there was sufficient correlation between judgment debt and cross demand to justify setting notice aside — Insolvency Act 1967, s 19(1)(d).