C/L/276. Bankruptcy and Scottish Business Law

The paper examines a law case related to the fiduciary duty owed by the debtor to the creditor with regard to diligence, honesty and intention to repay. References are made to traditional insolvency law considering the Bankruptcy Scotland Act 1985 as amended by Bankruptcy and Diligence (Scotland) Act 2007. Advice is given about the money lent to the debtor by the creditor stating that it should be paid as a priority debt by the insolvent company.