National Rugby League (NRL) was successful in setting aside a summons for public examination obtained by the liquidator of Newheadspace Pty Limited (Newheadspace). The Court also awarded NRL its costs. The Court found that the creditors’ voluntary winding-up of Newheadspace was an abuse of process, and that the summonses were obtained for an improper purpose.

In January 2014 I published an article titled “Directors Duties – Insolvent Trading: Five rules to deal with a company in financial difficulty” in which I called upon the Federal government to reform Australia’s harsh insolvent trading laws and bring in some protections against ipso facto clauses in order to facilitate the restructuring of businesses.