Australian Insolvency Laws Set for Reform, Just Months after Introduction

Months after sweeping changes to insolvency laws, the budget revealed the government will re-examine what should happen when businesses go bust, reported. Robyn Erskine, partner at insolvency firm Brooke Bird, said that it was disturbing the government was again raking over the systems used when businesses need to be wound up. "They're back having a look at that regime, only months after the introduction, and that creates uncertainty in the marketplace," she argued. There is no cost attached to the changes announced in the budget, such as increasing the minimum threshold, from $2,000 to $4,000, where creditors can issue proceedings to wind up a company. Read more.