Proper construction – the meaning of “for” within the context of section 6(5) of the National Credit Code
In the matter of Australian Securities and Investments Commission v BHF Solutions Pty Ltd [2022] FCAFC 108, the Court considered whether one or more of the fees charged by the Second Respondent could be considered “a charge that is or may be made for providing the credit” within the meaning of s 6(5) of the […]
ReadmoreTransfers to defeat creditors – contextualisation is all important
The Full Federal Court, overturning Flick’s J decision at first instance ([2020] FCA 1759), found that the bankrupt’s main purpose in transferring their property was, in substance, not to prevent, hinder or delay this property becoming divisible amongst his creditors in breach of s 121(1) of the Bankruptcy Act 1966 (Cth). The Full Court outlined […]
ReadmoreCourt grants orders vesting interest in property that had previously been disclaimed
On 29 June 2022, the Federal Court of Australia made an order vesting an interest in a half share of land in Aaron Kevin Lucan in his capacity as trustee (the Trustee) of the bankrupt estate of Christopher Williams (the Bankrupt Estate). The Trustee was seeking an order pursuant to section 133(9) and/or section 30(1)(b) […]
ReadmoreCorruption and Integrity Update – October 2022
This month’s Corruption and Integrity Update considers the progress made towards the National-Anti-Corruption Commission (NACC), including where money is being directed under the latest budget; the Royal Commission into Robodebt which has just commenced public hearings; recent Queensland Integrity Reforms; and a status update from the Queensland Auditor-General. National Anti-Corruption Commission (NACC) Joint Select Committee […]
ReadmoreQueensland Occupational and Professional Disciplinary Update
The end of September saw the tabling of a series of Annual Reports to the Queensland Parliament. Within these reports were details from the various regulators operating in the occupational and professional disciplinary space that plays out across the Queensland Civil and Administrative Tribunal (QCAT), the Magistrates Court of Queensland and related jurisdictions. We have […]
ReadmoreWhat goes up, must come down – Declining property values, rising interest rates, mortgage distress and assisting through financial difficulty
Partner Sonia Apikian and Senior Associate Susan Verginis discuss trends on Australian housing values, interest rates and their impact upon mortgage distress, with a focus on how lenders can assist their customers through financial difficulty. Click below to read the full article. If you found this insight article useful and you would like to subscribe […]
ReadmoreBuy Now Pay Later: Industry awaiting Issues Paper with bated breath
For better or worse, the Buy Now Pay Later (BNPL) industry has continued to make headlines since our last report. The sector’s meteoric rise has been tempered in recent months by a combination of market saturation, broader macroeconomic factors, and, most recently, a new political climate. The new Labor Government has made clear its intentions […]
ReadmoreFederal Court takes aim at expert’s ‘independent’ evidence: When lawyers can taint an expert’s report
The case of New Aim Pty Ltd v Leung [2022] FCA 722 concerned a dispute between an e-commerce company and its former employees regarding the use of confidential information acquired during the course of employment. A significant issue in the case, which is the focus of this article, was whether the Court should reject an […]
ReadmoreDirectors beware – personal recovery orders made where director’s duties breached
In the matter of Bryve Resources Pty Ltd [2022] NSWSC 647, the Court accepted the liquidator’s evidence of alleged breaches and found the company’s sole director breached his director’s duties, including failing to act with due care and skill, or in the best interest of the company and its creditors, when allowing the company to […]
ReadmoreYou’ve been served! Federal Court of Australia affirms recent amendments to modernise the Corporations Act
In Bioaction Pty Ltd -v- Ogborne, in the matter of Bioaction Pty Ltd [2022] FCA 436 (Bioaction), her Honour Justice Cheeseman considered whether an application to set aside a statutory demand was served within the 21-day period as provided for in Section 459G of the Corporations Act 2001 (Cth) (the Act). In deciding this matter, […]
ReadmorePower to sell – Federal Court exercises discretion to allow company to realise trust assets
In Brooks, in the matter of Tease Hair & Spa Pty Ltd (in liquidation),[1] the Federal Court made orders in favour of the Liquidator, pursuant to section 90-15 of Schedule 2 to the Corporations Act 2001 (Cth) (Insolvency Practice Schedule (Corporations)) and section 47 of the Trustee Act 1989 (Tas) allowing the Liquidator to realise […]
ReadmoreShell company leads to successful unconscionable conduct claim for ‘wilful blindness’
The High Court has resolved to hold lenders responsible where they are wilfully blind to the position of a guarantor or take advantage of an individual’s lack of business acumen or financial resources. This extended to the use of independent legal and financial advice certificates (certificates) in relation to asset-based lending. The decision serves as […]
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