The Supreme Court of New South Wales has provided guidance as to the meaning of “true employer” for the purposes of the external administration provisions of the Corporations Act 2001 (Cth) (the Act) in In the matter of Mosaic Brands Limited (administrators appointed) (receivers and managers appointed) [2025] NSWSC 959. The decision is important for liquidators and receivers of large corporate group where there are individual trading and employing entities and funds have been recovered from circulating assets.

We discuss the Federal Court of Australia’s judgment and distil insights to assist trustees in bankruptcy navigate difficult estates and deal with recalcitrant bankrupts.

The Western Australia Court of Appeal has provided clarity concerning insolvency practitioner independence following pre-administration services and whether those pre-administration services can disentitle insolvency practitioners to remuneration.

The judgments of the Federal Court of Australia and the Full Federal Court in Sino Group International Limited v Toddler Kindy Gymbaroo Pty Ltd ^[1] provide important practical lessons arising from a misleading Deed of Company Arrangement (DOCA) proposal, its termination, and the subsequent appointment of a liquidator.

In a decision handed down by Downes J on 4 July 2024, the Federal Court of Australia provided guidance on the treatment of capital gains in bankruptcy, and endorsed the approach that has been taken by the ATO: Robson as trustee for the bankrupt estate of Lanning v Commissioner of Taxation [2024] FCA 720 (Decision).

Key takeaways

The Honourable Justice Black of the NSW Supreme Court has ruled on an application pursuant to s90-15 of the Insolvency Practice Schedule (Corporations) involving the complex interplay between s556 and s561 of the Corporations Act 2001 (Cth) (Act).

Originally published in the March 2023 issue of the Australian Restructuring & Turnaround Association Journal (ARITA), this article explores the interaction of statutory set‑off and unfair preference claims through its legislative origins, historical application and consideration by the courts, before discussing the High Court’s recent judgment and concluding with key takeaways for insolve

The High Court has handed down its long-awaited decisions in Bryant v Badenoch Integrated Logging Pty Ltd [2023] (Badenoch) HCA 2 and Metal Manufactures Pty Ltd v Morton [2023] HCA 1 (Morton) providing guidance on common defences to unfair preference claims that may be brought by liquidators. The key takeaways for insolvency practitioners are:

In a decision handed down by Black J on 25 March 2022, the New South Wales Supreme Court provided useful guidance on the order of priority of payments in a winding up where employee debts and secured creditor claims exist: In the matter of Spitfire Corporation Limited (in liquidation) and Aspirio Pty Ltd (in liquidation) [2022] NSWSC 340.

We are pleased to present our first edition of the Annual Return, reporting on landmark cases, legislative reform, and the implications for your practice.

Uncharted waters