244 SECRETARIAL PRACTICE 
Keeping 
Accounts. 
not within 28 days after receipt of such application or such 
further period as the Court may allow given notice to the 
applicant that he intends to apply to the Court for leave to 
disclaim and that, in the case of a contract, if the liquidator, 
after such an application as aforesaid, does not within the 
said period or further period disclaim the contract the company 
shall be deemed to have adopted it. It would appear that if 
the liquidator desires an extension of time within which to give 
notice of disclaimer he must apply to the Court for such 
extension within the above-mentioned period of 28 days 
[exp. Lovering, 9 Ch. Apps. 586, re Richardson, 16 Ch. D. 
613]. Accordingly in any application to the Court for leave 
to disclaim a contract, it is advisable if such an application as 
above mentioned has been received from a party interested to 
ask also for an extension of the period in which notice of dis- 
claimer may be given. It is not clear what the effect of the 
words ‘The company shall be deemed to have adopted’ the 
contract is. In the analogous section of the Bankruptcy Act 
the trustee is made expressly liable. No personal liability 
is however, imposed on the liquidator. There appear to be 
two alternatives (a) that the interested party is to have a mere 
right of proof, or (b) that the contract is to be treated as if it had 
been made by the liquidator on behalf of the company in the 
course of carrying on its business in which case the interested 
party would be entitled to be paid in full. Probably the 
latter is the correct interpretation. A liquidator who has to 
consider the question would be well advised to obtain the 
decision of the Court and not act on his own interpretation 
of the section. The section contains other provisions enabling 
the Court, either before or on granting leave to disclaim, to 
require notices to be given to interested parties, and enabling 
any interested person to apply to the Court to make an order 
rescinding the contract on terms or vesting in the applicant 
or directing the delivery to him of any disclaimed property. 
The consideration of this section is however beyond the scope 
of this book but the decisions on s. 54 of the Bankruptcy 
Act, 1914, afford some guide to the application of this section. 
It should be added that by sub-s. (7) any person injured 
by the operation of a disclaimer shall be deemed a creditor 
of the Company to the amount of the injury and may prove 
the amount as a debt in the winding up. The section does 
not apply in the case of a winding up in Scotland [s. 267 (8)]. 
An important duty of the liquidator is the duty of keeping 
proper accounts. It is nowhere laid down that a liquidator 
in voluntary winding up must keep accounts, but Rule 170 (3) 
of the Companies (Winding up) Rules. 192g provides that in