Hutchinson Legal provides experienced advice and assistance in relation to a wide variety of bankruptcy and corporate insolvency matters. We regularly advise insolvency practitioners in relation to their administration of insolvent companies and bankrupt estates, as well as company directors and individuals needing to understand the legal consequences of their particular insolvency related circumstances. We also regularly advise people adversely affected by the insolvency of family members to preserve their assets as far as possible.
When an individual or company cannot pay their debts as and when they are due, they are insolvent. Working out the date when you actually become insolvent can have potentially large ramifications for past transactions dealing with your assets, as an insolvency practitioner may have statutory rights to set aside those past transactions.
In Australia, bankruptcy only applies to insolvent individuals, not companies. You can either apply for your own bankruptcy if you are insolvent, or a creditor may apply to a Court to obtain an order making you bankrupt. Again, the date of your insolvency and the date of your bankruptcy can have ramifications for past transactions dealing with your assets.
