Courts ‘should be wary of [liquidator] disclaimers where environmental liabilities are to be passed onto taxpayers or innocent persons’

A court has set aside liquidators’ disclaimer of contaminated property on a challenge by the environmental regulator. Particularly in a voluntary liquidation of a company, the Court said it should discourage the use of that process as a means to avoid the company’s environmental responsibilities. Ultimately however, environmental responsibilities are better enforced earlier, than at […]

Bankrupt for life?

An Australian personal bankruptcy lasts for a minimum of 3 years in Australia – whether it is an overly committed consumer or an economically impacted trader; and it can be extended up to 8 years.  And in some cases, a person’s bankruptcy can last for many years, until their death and beyond.  There are around […]

Cross-border proof of an Australian bankruptcy

A certificate of appointment under Bankruptcy Regulation 8.02 in relation to a voluntary bankruptcy should generally be sufficient to support a trustee’s proposed application overseas for recognition of their Australian bankruptcy under Article 15 and related articles of the UNCITRAL Model Law on Cross-Border Insolvency.  Nevertheless, in the voluntary Australian bankruptcy of Mr Moltoni, the […]

Mainzeal’s NZ$36m reckless trading appeal pending; bankruptcy of director deferred

Liquidators of Mainzeal with a NZ$36m judgment for reckless trading against the company’s directors have failed in an attempt to bankrupt one of the directors only two weeks out from the director’s appeal hearing. Meanwhile, the outcome of the appeal may assist in any review of NZ’s insolvency laws. The New Zealand High Court decision […]

Liquidators’ remuneration in Halifax referred to a referee

Going back some years, Australia rejected a single insolvency regulator for its personal insolvency practitioners on the one hand, and its corporate insolvency practitioners on the other;[1] 90% of whom are registered as both.  Separate regulation was maintained and continues. Even when major harmonising reforms were enacted in 2016, that decision was not revisited. Each […]

“Insolvency business is booming …” in the UK

Adrian Duncan was an insolvency practitioner in Australia years ago.[1]  He now practises in the UK and it seems is doing quite well given what is said to be “shaping up to be the biggest amount of insolvency work the United Kingdom has ever seen”; with comparisons made with Australia. Judgment debt But judgment was […]

Liquidators’ remuneration – “most businesses do not charge out that way”

A Judge apologised at the start of his judgment for the length of time he took to determine liquidators’ remuneration.  On reading the judgment, and the tedium involved in the assessment, one can understand why he took time: six minute units of opening mail, clearing in-trays and filing paperwork, receiving payment instalments and explaining work […]