In Ramsay Health Care Australia Pty Ltd v Compton, the High Court of Australia considered the Bankruptcy Court's discretion, under s52 of the Bankruptcy Act 1966 (Cth), to go behind a judgment to satisfy itself that a debt is truly owing before making a sequestration order against a debtor.
1. Section 90K(1)(aa) of theFamily Law Act1975 (Cth) provides that a court may set aside a financial agreement if the court is satisfied that a party to the agreement entered into the agreement for purposes including the purpose of defrauding or defeating creditors, or with reckless disregard to the interests of the creditors.
The Treasury Laws Amendment (2017 Enterprise Incentives No. 2) Act 2017 (the Act) received royal assent on 18 September 2017.
This week’s TGIF considers a priority contest which turned on the construction of section 62 of the PPSA and the reference to a grantor obtaining possession.
What happened?
Bill’s Motorcycles (Bill’s) carried on a business as a motorcycle dealer selling and servicing Kawasaki motorcycles.
The decision in Ramsay Health Care Australia Pty Ltd v Compton [2017] HCA 28
The decision in Ramsay Health Care Australia Pty Ltd v Compton [2017] HCA 28
Australia is on the cusp of implementing various changes to the Bankruptcy Act 2001 (Cth) that will likely increase the number of people voluntarily entering into personal bankruptcy.
The Bankruptcy Amendments (Enterprise Incentives) Bill 2017 was introduced in the Senate on 19 October 2017. The Bill follows from reforms proposed in the National Innovation and Science Agenda (from which the ‘Safe Harbour’ Reforms also originated).[1]
The recent judgment of the Western Australian Court of Appeal in Hughes v Pluton Resources Ltd 1, concerns the interaction between a deed of company arrangement (‘DOCA’) under Part 5.3A of the Corporations Act 2001 (Cth) (‘CA’) and the Personal Property Securities Act 2009 (Cth) (‘PPSA’).
On 11 September 2017, the Treasury Laws Amendment (2017 Enterprise Incentives No. 2) Bill 2017 was passed by the Senate. The Bill features two key changes to the Corporations Act:
With the enactment of the ipso factoreform in September this year (which commences operation on 1 July 2018), it is the genuine hope of many insolvency practitioners and others in the market that voluntary administration will become a less value-destructive and, therefore, a more useful tool for company restructures.