ARITA, the Australian Restructuring and Insolvency Turnaround Association, has released a new discussion paper titled A Platform for Recovery.

The paper considers seven current issues in the present legislative framework for insolvency and makes conceptual proposals to remedy those issues, including:

• the establishment of safe harbour defence for company directors;
• the extension of a moratorium on termination clauses in contracts triggered by insolvency; and
• the instruction of formal debt agreements for small companies similar to the operation of Part IX Debt Agreements in personal bankruptcy.

A copy of the paper is available for download here.

For more information, contact Daren Anderson.