Gorrie’s Trustees v Gorrie (1890) 17 R 1051
Citation:Gorrie’s Trustees v Gorrie (1890) 17 R 1051
Rule of thumb:How do you determine if a transaction was done at undervalue? To determine if a transaction was undervalue, the actual price is not as important as the seller actually following all the correct steps to have the maximum value attained – following the correct steps is more important than the price in determining whether a transaction was undervalue or not.
Judgment:
‘Bell’s Commentaries on the Laws of Scotland , 7th ed (1870), vol ii, p 179 which, in a commentary on the 1621 Act, stated: “In proving the consideration of the deed, every case must depend on its own circumstances. It may be observed, however, in general, 1. That it is not in all cases necessary to prove that the highest price possible has been got for the subject; but quite sufficient if what is commonly called a fair price has been received, ie a price, which, in the whole circumstances of the case, indicates a fair and bona fide transaction.”
Warning: This is not professional legal advice. This is not professional legal education advice. Please obtain professional guidance before embarking on any legal course of action. This is just an interpretation of a Judgment by persons of legal insight & varying levels of legal specialism, experience & expertise. Please read the Judgment yourself and form your own interpretation of it with professional assistance.