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    Hurry Up and Wait - Liquidator in holding pattern while Re Amerind decided
    2018-07-13

    This week’s TGIF considers In the matter of MJM(WA) Enterprises Pty Ltd (in liq) [2018] NSWSC 944, where the Court approved a liquidator’s remuneration but deferred decisions about trust distributions until after the Re Amerind litigation finishes.

    What happened?

    The company operated two barbershops in Perth as trustee for a family trust before liquidators were appointed in May 2017.

    Filed under:
    Australia, Victoria, Employee Benefits & Pensions, Insolvency & Restructuring, Litigation, Private Client & Offshore Services, Corrs Chambers Westgarth, Corporations Act 2001 (Australia), Victoria Supreme Court
    Authors:
    Cameron Cheetham , Craig Ensor , Kirsty Sutherland , Mark Wilks , Matthew Critchley , Michael Catchpoole , Michelle Dean , Sam Delaney , Estelle Blewett , David Abernethy
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth
    A disposition of trust property post-winding up - void or not?
    2017-12-01

    This week’s TGIF considers the decision of Simpson & Anor v Tropical Hire Pty Ltd (in liq) [2017] QCA 274 in which the Queensland Court of Appeal considered whether a disposition of property by a company after the commencement of its winding up was void

    BACKGROUND

    Mr Simpson was the sole director and shareholder of Tropical Hire Pty Ltd (company). It had operated a successful business until that business was sold in 2009. After the sale, the company did not trade.

    Filed under:
    Australia, Insolvency & Restructuring, Litigation, Private Client & Offshore Services, Corrs Chambers Westgarth, Beneficial interest, Corporations Act 2001 (Australia), Queensland Supreme Court, Trustee
    Authors:
    Kirsty Sutherland , Mark Wilks , Matthew Critchley , Michael Kimmins , Rachael King , Sam Delaney , Haley Aprile
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth
    First in time, first in line? Does the order of registration of caveats determine the priority of competing unregistered charges?
    2017-06-09

    This week’s TGIF considers Bunnings Group Ltd v Hanson Construction Materials Pty Ltd & Anor [2017] WASC 132, where the Court considered whether the order of registration of caveats determined the priority of competing unregistered charges.

    BACKGROUND

    Bunnings and Hanson each supplied building materials to Capital Works prior to Capital Works’ liquidation by means of a creditors’ voluntary winding up.

    Creation of the charges

    Filed under:
    Australia, Insolvency & Restructuring, Litigation, Corrs Chambers Westgarth, Liquidator (law)
    Authors:
    David Abernethy , Kirsty Sutherland , Mark Wilks , Matthew Critchley , Sam Delaney , Estelle Blewett , Michelle Dean
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth
    Liquidators welcome insurers to the party…again
    2016-11-18

    This week’s TGIF considers Re Akron Roads Pty Ltd (in liq) (No 3) in which the Court held that the liquidators had standing to seek a declaration against an insurer arising from the assignment of rights under a policy.

    WHAT HAPPENED?

    The previous High Court decision

    Filed under:
    Australia, Victoria, Insolvency & Restructuring, Insurance, Litigation, Corrs Chambers Westgarth
    Authors:
    David Abernethy , Kirsty Sutherland , Mark Wilks , Matthew Critchley , Sam Delaney , Estelle Blewett , Michelle Dean
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth
    Federal Court finds that a retention of title clause is to be considered a “security”, defeating the liquidators’ unfair preference claim
    2016-05-27

    This week’s TGIF considers the decision in Hussain v CSR Building Products Limited, in the matter of FPJ Group Pty Ltd (In Liq), in which an ROT clause was held to be a “security”, defeating the liquidators’ unfair preference claim.

    Background

    On 18 July 2014, FPJ Group Pty Ltd (FPJ Group) was wound up in insolvency.

    Filed under:
    Australia, Insolvency & Restructuring, Litigation, Corrs Chambers Westgarth, Unsecured debt, Debt, Liquidator (law), Title retention clause
    Authors:
    David Abernethy , Kirsty Sutherland , Mark Wilks , Matthew Critchley
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth
    When can a guarantor rely on a right of subrogation?
    2015-10-30

    This week’s TGIF considers the case of Bowesco Pty Ltd v Westpoint Management Ltd [2015] WASCA 184, which considered whether a guarantor had a right of subrogation enabling it to be repaid in advance of the second ranking creditor. 

    BACKGROUND

    Filed under:
    Australia, Western Australia, Banking, Construction, Insolvency & Restructuring, Litigation, Corrs Chambers Westgarth
    Authors:
    David Abernethy , Kirsty Sutherland , Mark Wilks , Matthew Critchley
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth
    Court allows deed administrator to transfer shares in a company’s restructure without the consent of the shareholders
    2015-03-27

    Background

    In In the matter of Nexus Energy Ltd (subject to a deed of company arrangement) [2014] NSWSC 1910, the deed administrators of Nexus Energy Limited (subject to a Deed of Company Arrangement) (Nexus) sought leave of the Court to transfer all ordinary shares in Nexus to SGH Energy (No 2) Pty Ltd (SGH2). SGH2 was the proponent of the Deed of Company Arrangement (DOCA) and was also associated with the secured lender.

    Filed under:
    Australia, New South Wales, Company & Commercial, Insolvency & Restructuring, Litigation, Corrs Chambers Westgarth, Share (finance), Shareholder
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth
    The Supreme Court of NSW reminds us of the inflexibility of the conflict rule and the risks associated with the involvement of directors in transactions in circumstances where they are in a position of conflict
    2014-09-19

    On 11 September 2014, the Supreme Court of NSW handed down its decision in Allco Funds Management Limited (Receivers and Managers Appointed) (In Liquidation) v Trust Company (RE Services) Limited (in its capacity as responsible entity and trustee of the Australian Wholesale Property Fund) [2014] NSWSC 1251.

    The decision has highlighted the risks associated with the involvement of directors in transactions where they are in a position of conflict.

    THE FACTS

    Filed under:
    Australia, New South Wales, Insolvency & Restructuring, Litigation, Corrs Chambers Westgarth, New South Wales Supreme Court
    Authors:
    David Abernethy , Kirsty Sutherland , Mark Wilks , Michael Kimmins
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth
    Setting aside creditors’ resolutions and the meaning of “interest of creditors as a whole”
    2014-04-11

    In DSG Holdings Australia Pty Ltd v Helenic Pty Ltd [2014] NSWCA 96, the Court of Appeal considered the meaning of the “interests of the creditors as a whole” under section 600A of the Corporations Actand the circumstances in which the Court will intervene to set aside or impose conditions on resolutions passed at creditors meetings.

    BACKGROUND

    Filed under:
    Australia, New South Wales, Company & Commercial, Insolvency & Restructuring, Litigation, Corrs Chambers Westgarth, Interest, Corporations Act 2001 (Australia)
    Authors:
    David Abernethy , Kirsty Sutherland , Mark Wilks , Michael Kimmins
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth
    Protect the tax man: modifying orders made under the UNCITRAL Model Law to enable distribution outside of the ‘foreign main proceeding'
    2013-09-20

    The recent Federal Court of Australia (the Federal Court) decision of Ackers v Saad Investments Company Limited [2013] FCA 738 considered whether the Australian Commissioner of Taxation (the Commissioner) could collect part of an AUD $83,271,545.70 debt owed by Saad Investments Company Limited (in official liquidation) (Saad) from Saad’s Australian assets, before those assets were remitted to the Cayman Islands for distribution in Saad’s ‘foreign main proceeding’.

    Facts

    Filed under:
    Australia, Insolvency & Restructuring, Litigation, Tax, Corrs Chambers Westgarth, UNCITRAL, Federal Court of Australia
    Authors:
    David Abernethy , Kirsty Sutherland , Mark Wilks
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth

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