Victorian Court of Appeal clarifies preference law

Before 1993, the question of whether a creditor of a corporation being wound up had received an unfair preference from that corporation was determined under section 122 of the Bankruptcy Act 1966 (Cth). In 1993, a new Part 5.7B was inserted into the Corporations Act to deal with voidable transactions such as unfair preferences. Since then two lines of divergent judicial authority have developed:

Filed under:
Australia, Victoria, Insolvency & Restructuring, Litigation, Norton Rose Fulbright, Unsecured debt, Debt, Reinsurance, Liquidation, Liquidator (law), Subsidiary, MetLife, Corporations Act 2001 (Australia), Victoria Supreme Court, High Court of Australia
Authors:
David Porter , Steven Palmer
Location:
Australia
Firm:
Norton Rose Fulbright
Insolvency reform: more equity for directors and less equity for shareholders?

Summary

In an exciting week for insolvency, the Minister for Financial Services, Superannuation and Corporate Law has released a package of reforms to Australia’s corporate insolvency laws. This reform package includes:

Filed under:
Australia, Insolvency & Restructuring, Norton Rose Fulbright, Shareholder, Unsecured debt, Class action, Debt, Duty of care, Moratorium, Business judgement rule, Corporations Act 2001 (Australia)
Authors:
David Goldman , Steven Palmer , Chris Mcleod , Peter Schmidt
Location:
Australia
Firm:
Norton Rose Fulbright
Insolvency reform: more equity for directors and less equity for shareholders?

Summary

In an exciting week for insolvency, the Minister for Financial Services, Superannuation and Corporate Law has released a package of reforms to Australia’s corporate insolvency laws. This reform package includes:

Filed under:
Australia, Insolvency & Restructuring, Norton Rose Fulbright, Shareholder, Unsecured debt, Class action, Debt, Moratorium (law), Corporations Act 2001 (Australia)
Authors:
David Goldman , Steven Palmer
Location:
Australia
Firm:
Norton Rose Fulbright