Essential Skills: Insolvency Law
Insolvent trading & safe harbour

Understanding insolvent trading and the new ‘safe harbour’ laws is essential for advising company directors as well as acting for or against insolvency practitioners in recovery actions.

The insolvent trading liability, safe harbour protections and facilitating restructuring are under an increased focus in the current commercial environment.

This course considers insolvent trading actions against directors, defences and the new safe harbour carve out. It also covers establishing insolvency, quantifying damages, procedural issues and actions against parent companies.

Learning objectives

At the end of this course you will understand:

• Directors’ duty to prevent insolvent trading under s 588G of the Corporations Act.
• Scope of the duty to prevent insolvent trading: what are ‘debts incurred’?
• The ‘safe harbour’ from action against directors for insolvent trading.
• Establishing ‘insolvency’ for the purposes of an insolvent trading claim.
• Defences to an insolvent trading claim.
• Quantifying damages for compensation for an insolvent trading claim.
• Procedural issues, including actions against parent companies for insolvent trading.

Who should attend?

Lawyers practising in insolvency law, in-house counsel and insolvency practitioners with an interest in this area of law.

Prerequisites

We recommend participants complete the Introduction to Insolvency Program, or have at least one year of insolvency experience, prior to attending this course.

CPE

TBC - maximum of 2 CPE verifiable hours. 

Please see our enrolment and cancellation policy. For further information contact our education team.