Progressive Reforms – Recent developments in Australian directors’ liability

Until recently, Australia had some of the strictest insolvent trading laws in the world. Those laws were designed to lift the corporate veil, so that those in control of a corporation could be held liable for debts incurred while the corporation is unable to pay its debts as and when they are due. Section 588G […]

Redundancy and the redistribution of duties

Redundancy is an unfortunate part of operating a business. Redundancy may arise as a result of a restructure, reorientation of business director or economic downturn. Discussions regarding redundancy can be particularly difficult, especially where certain tasks of a redundant role remain and are set to be redistributed. When such a situation arises employees may be […]

UK case reignites debate on the correct extent of judicial intervention

A recent decision in the United Kingdom has shed light on the topical issue surrounding the proper extent of judicial intervention. The case of Serafin v Malkiewicz & Ors [2019] EWCA Civ 852 ensued after Mr Serafin appealed an earlier decision on a number of grounds, including that the trial judge had exercised unfair judicial […]

Expert determination – does ‘according to law’ mean free from legal error?

A common form of alternative dispute resolution is to have a dispute decided by an expert. The advantages of this method are that it is usually faster and less expensive than taking your dispute to court. Another advantage is you can appoint an expert with specialist knowledge of the industry that a judge may not […]

VSCA highlights the importance of distinguishing between debt and damages in debt recovery claims

In the matter of Yang v Finder Earth Pty Ltd [2019] VSCA 22, the Victorian Supreme Court of Appeal set aside a default judgement for recovery of an unpaid debt on the basis that the underlying claim was better characterised as one for damages. Ultimately, the case illustrates the importance of properly and clearly pleading […]

Perth accountant sentenced to 4 years imprisonment for $250k tax fraud

A Perth accountant has been sentenced to 4 years imprisonment for tax fraud after he was convicted of both obtaining and attempting to obtain over $250,000 from his clients and the ATO. On 21 February 2019, the Perth District Court heard that during his time as an accountant at Finkelstein Hickmott between May 2016 and […]

Full Federal Court clarifies tax obligations for Australian’s living and working abroad

When is a person living overseas no longer a resident for tax purposes?  A recent decision of the Full Federal Court provides an interesting perspective but will the Tax Office accept the determination or apply for special leave to appeal the High Court for reconsideration – Watch this space. In Harding v Commissioner of Taxation […]

ASIC charges director and pre-insolvency advisers with dealing with proceeds of crime

Following an investigation into the affairs of Cap Coast Telecoms Pty Ltd, ASIC has charged a company director and two pre-insolvency advisers with dealing with proceeds of crime, alleging the trio were complicit in the removal of almost $750 000 in company funds. On 1 March 2019, the trio appeared in the Brisbane Magistrates Court […]

Insolvency Rules construed by Court

Recently, in The Matter of 1st Fleet Pty Ltd (in liq) [2019] NSWSC 6, the New South Wales Supreme Court offered guidance on the scope and operation of the Insolvency Practice Schedule (Corporations) (IPSC), which provides rules on when creditors can request and are entitled to recover specified information and documents from external administrators. On […]