This Fall the Alberta Surface Rights Board (the “Board”) Panel issued its decision in Lemke v Petroglobe Inc, 2015 ABSRB 740. The Panel decided that it did not have authority to proceed with a claim by a landowner for unpaid compensation that had accrued before the date that the operator was assigned into bankruptcy.
This article was first published in the Australian Financial Review on Thursday, 22 February.
In the five years to November 2017, AUD1.8 billion of GST revenue was written-off due to phoenixing – where companies are stripped of assets and liquidated, then restarted under a different name leaving creditors out of pocket.
Two NSW Court of Appeal decisions in two months have upheld orders made against directors of a corporate tenant to pay $3,537,040.50 in one case, and $602,178.35 in the other, as damages for the landlord’s loss of rent and make good expenses, as a result of failed retail tenancies.
The decisions are:
The NSW Supreme Court has given a Landlord leave to commence proceedings against a company for rent and make good costs arising after the date of the DOCA.
BACKGROUND
On 13 June 2017 the Australian Financial Review published an article titled “SumoSalad uses Insolvency Laws to fight Scentre’s Westfield”.
In the recent Federal Budget, one change that hasn’t been given media attention is a change to the GST Legislation, which is to become effective from mid-July 2018 whereby purchasers of ‘new constructed residential premises’ and ‘new subdivisions’ become responsible to remit the GST to the Australian Taxation Office (ATO).
The Government has not published any details as to how these changes are going to operate other than claiming that the ATO expects to recover upwards of $650 million in GST revenue over the next four years.
When a lessee fails to comply with a notice to remedy a non-payment or other lease default, the lessor may be entitled to terminate the lease and retake possession of the property. This is commonly done by changing the locks.
However, a lessee who wants to save itself from being evicted can apply to court to prevent the lessor from retaking possession. In Queensland this application is made under section 124 of the Property Law Act 1974 (Qld) and is known as an application for relief against forfeiture.
When is relief against forfeiture granted?
Failing to register a lessor’s security interest on the PPSR over plant and equipment at leased premises can result in the lessor’s unperfected security interest passing to the administrator of the lessee.
In the recent decision of Flown Pty Ltd v Goldrange Pty Ltd [2016] WASC 419, a lessee’s administrator successfully retained ownership of plant and equipment (which were not fixtures) in the leased premises.
Background
Year in Review - Australia Law in 2016
Two’s company when it comes to debt funding. Surely, three makes things a little crowded? It doesn’t have to be that way.