Payments for contemporaneous supply of goods, where delivery and payment form part of a single integrated transaction, are not unfair preferences under s 588FA(1) even where post-dated cheques are used, provided the post-dating period is short and each payment is tied to a specific delivery. Instalment payments on pre-existing debts remain clearly preferential. Good faith under s 588FG(2)(a) is tested subjectively. A history of non-payment, litigation, instalment arrangements, and unfulfilled security promises will establish reasonable grounds for suspecting insolvency for the purposes of s 588FG(2)(b).
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