* a ‘safe harbour’ for directors in respect of the insolvent trading offence; and
* a stay on the exercise of certain rights (including termination rights) for counterparties (or ‘ipso facto’ clauses).
The New ‘Safe Harbour’ for Directors
Directors of Australian companies are liable for any debts incurred while the company is, or is likely to become, insolvent. The reforms introduce a safe harbour for directors to somewhat temper the onerous insolvent trading provisions.… Continue Reading