High Court limits use of liquidation in shareholder disputes

The court accepted that a closely held company could, in appropriate circumstances, be liquidated where mutual trust and confidence have broken down. 

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The High Court has rejected an attempt to liquidate a financially sound company after an estranged couple failed to resolve a dispute over its management and assets.

The court dismissed Joan Catherine Wangui's petition against her partner Robert Gethenji, seeking liquidation of RAK Limited, a company they incorporated in 2012.

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