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Equitable Fraud And Double Liability Of A Debtor Following Notice Of Equitable Assignment Of The Debt, Chee Ho Tham
Equitable Fraud And Double Liability Of A Debtor Following Notice Of Equitable Assignment Of The Debt, Chee Ho Tham
Research Collection Yong Pung How School Of Law
‘Equitable fraud’ is broader in its conception than fraud at common law. Notwithstanding ambiguities as to its precise boundaries, equitable fraud can help explain why a debtor who tenders payment to his or her creditor, despite having received notice that the money debt had been equitably assigned to an assignee, may be ordered to make payment to the assignee if the creditor-assignor were to abscond with the sums tendered, leaving the assignee out of pocket. Such liability can be explained on grounds of the debtor having committed a form of equitable fraud by dishonestly assisting in the creditor-assignor’s breach of …