Companies Act 2014 section 439

Duty of receiver selling property to get best price reasonably obtainable, etc.

Section 439 imposes a duty on a receiver selling company property to obtain the best price reasonably obtainable and sets out restrictions on private sales to connected parties.

• A receiver must exercise all reasonable care to obtain the best price reasonably obtainable for company property at the time of sale.
• Acting as the company's agent or under a power of attorney is no defence to a claim for breach of this duty, and the company is not obliged to compensate or indemnify the receiver for any resulting liability.
• A receiver must not sell a non-cash asset of requisite value by private contract to a current or recent officer of the company (within the preceding three years) unless at least 14 days' notice has been given to all known creditors.
• The term "officer" extends beyond its usual meaning to include persons connected with a director, shadow director, or de facto director of the company.

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