Re MC Bacon Ltd (No 1)
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Not to be confused with Re MC Bacon Ltd (No 2).
Re MC Bacon Ltd [1990] BCLC 324 is a leading UK insolvency law case, concerning transactions at an undervalue (Insolvency Act 1986, s 238) and voidable preferences (Insolvency Act 1986, s 239).
Quick Facts Re MC Bacon Ltd (No 1), Court ...
Re MC Bacon Ltd (No 1) | |
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Court | High Court |
Full case name | In re MC Bacon Ltd |
Decided | 30 November 1989 |
Citation(s) | [1990] BCC 78 [1990] BCLC 324 |
Case opinions | |
Millett J | |
Keywords | |
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The court held that where a person granting security to a bank under commercial pressure from the bank, there was no "intention to prefer" the bank under the meaning in the Act. The granting of the security was a response to the commercial pressure, and not an intention to prefer one creditor above others.
Although the decision is only a first instance decision in the United Kingdom, it has been followed in a number of other jurisdictions in relation to the proper determination of intention to prefer.[1]