The board has at least two offers to consider following the ruling which makes the alternative prospect of going into administration less likely.
GEAR:Save 10% on Liverpool home, away and third kits here, courtesy of Kitbag
The ruling, which paves the way for a sale of the highly indebted club, was greeted with relief by delighted fans who jostled with photographers outside court to thank the board and their barristers on the steps of the famous building.
Earlier fans wearing the club's red shirts and scarves had pushed with journalists to get into the tiny oak-panelled court room to hear Justice Floyd deliver his almost hour-long verdict.
The narrow stone corridors around Court 18 were also teeming with spectators straining to hear and make sense of the judgment.
"We're delighted with the result," chairman Martin Broughton said after emerging from court, shouting over the noise of singing fans. "Justice has been done. This will clear the way for the sale."
The ownership battle engulfing one of the world's most famous sporting institutions ended up in court after owners Tom Hicks and George Gillett tried to sack members of the board last week in a last ditch bid to keep control of the club.
The board were in the process of agreeing a 300 million pound sale to New England Sports Ventures (NESV), the owner of the Boston Red Sox (pictured), ahead of an October 15 deadline to repay over 200 million pounds worth of debt.
It has since also received an increased 320 million pound offer from Singapore billionaire Peter Lim.
BRIGHTER FUTURE
The ruling means the future now looks much brighter for Liverpool, England's most successful football domestic team, as they look to negotiate a deal ahead of Friday's deadline.
Lim said he welcomed the court decision and urged the board to consider all sale options, while NESV pointed out that they had a binding agreement to buy the club.
"We are ready to move quickly and help create the stability and certainty which the club needs at this time," NESV said. "It is time to return the focus to the club itself and performances on the pitch."
Broughton said outside court that they would now take legal advice when asked if the club had a duty to consider other bids that may be higher.
If the repayment date with major creditor the Royal Bank of Scotland (RBS) had been missed, the five-time European champions could have been put into administration and docked nine points.
"This morning's announcement means that the possibility of administration is now highly unlikely and the smart money is on the deal with NESV now going through," Gerald Krasner, a partner at insolvency and recovery specialist Begbies Tra
