FRAUDULENT TRANSFERS OF BUSINESSES ORDINANCE, 1923

FRAUDULENT TRANSFERS OF BUSINESSES ORDINANCE, 1923

No. 25 of 1923.
An Ordinance to prevent certain fraudulent transfers of
businesses.

[12th October, 1923.]

1. This Ordinance may be cited as the Fraudulent Trans-
fers of Businesses Ordinance, 1923.

2. In this Ordinance,

(a) Appeal' includes a motion for -a new. trial or to set
aside a verdict, finding or judgment.
(b) Business means any trade or occupation, other than
a profession, carried on with a view to profit,





(c) court means the supreme court In its original
justisdiction.

(d) Transferor and transferee respectively include a
sub-transferor and sub-transferee, and, where the notice
referred to in section 3 is given before the date of the transfer,
an intended transferor and an intended transferee.

3.-(1) Whenever any business or any portion of any
business is transferred, with or without the goodwill or any
portion thereof, the transferee shall, notwithstanding any
agreement to the contrary, become liable for all the liabilities
incurred in the business by the transferor, unless due notice
in accordance with this section shall have been given and
shall have become complete at the date of the transfer.

(2) The liability of the transferee mider sub-section (1)

shall cease immediately notice given in accordance with this
section shall have become complete: Provided nevertheless
that should proceedings be instituted against the transferee
before such liability has ceased the said notice shall (for the
purposes of such proceedings but for such purposes only) be
deemed incomplete pending the final determination of such
proceedings, including all possible appeals, and pending the
expiration of all periods during which such appeals may be
brought.


(3) The notice referred to shall contain the particulars
hereinafter specified, and shall be given by publication, either
before or after the date of the transfer, in the Gazette and in
any two of such Chinese newspapers circulating in. the Colony
as may from time to time be approved by the Secretary for
Chinese Affairs, and shall, subject to the proviso to sub-
section (2), be deenied to be complete upon. the expiration of
one month from the publication of the notice in the manner
aforesaid.

The particulars above referred to are as follows:-

(a) the name and address of the transferor;

(b) the name and address of the transferee;

(c) the address where the transferee intends to carry on
the business; and

(d) a statement as to whether the transferee is assuming
or is intended to assume all the liabilities incurred in the
business by the transferor.

(4) The production of the Gazette containing the notice

shall be primai facie evidence is against both the transferor
and the transferee of the statements contained in the notice.

(5) Nothing in this section shall have the effect of relieving
the transferor from any liability to which lie would otherwise
be subject.

[Originally No. 25 of 1923.] Short title. Interpretation. Transferee of business to be liable for liabilities of transferor in certain cases.

[Originally No. 25 of 1923.] Short title. Interpretation. Transferee of business to be liable for liabilities of transferor in certain cases.

https://oelawhk.lib.hku.hk/items/show/1370

1923

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