Insolvency Law

Insolvency refers to the inability of an individual or a company to make payment on their debts when they are due.

It is safe to say that any expenses for individuals, business and companies, should not exceed the income. This is referred to as profit or disposable income for the individual. When there is more expenses than the money coming in then debts accumulate.

Debts can accumulate in many forms and include: credit cards, overdrafts, unpaid salary, invoices, overdue rent or mortgage, tax owed, unpaid bills and poor management of finances. When an individual or a company cannot make payment on their debts when they are due, they are considered to be insolvent. 

Statistics indicate that about 400 000 Australians are affected by 30 000 bankruptcies and 10,000 corporate and external administrations.

At Les Keady Legal, our Insolvancy Lawyers undertake legal issues and litigation claims, from simple to most complex matters that result from individual or company insolvencies.

This includes:

  • Providing realistic and practical advice about your rights to avoid contested litigation and to protect your interests
  • Creditor rights and obligations
  • Risk minimisation when cash flow is minimal
  • Bankruptcy petitions and notices
  • Assisting insolvency practitioners in asset disposal
  • Voidable transaction claims
  • Members voluntary liquidation
  • Informal workouts and arrangements with creditors
  • getting orders for substituted service
  • Retention of title claims
  • Director’s liability for insolvent trading
  • Appointment of external administrator
  • Deeds of company arrangement (DOCA) when required in insolvency cases
  • Company administrations and receiverships.
  • The enforcement of mortgages, charges and judgments
  • Conducting examinations of bankrupts and judgement debtors
  • preferences and un-commercial transactions
  • Applications to set aside Creditor’s Statutory demand
  • Court ordered liquidation

Generally, the law requires all creditors of a bankrupt debtor to receive the same proportion of their debt. Sometimes people gain an advantage, perhaps because they are employees and are "preferred creditors". Often lenders such as banks, the secured lenders, require securities such as mortgages, by other people to be provided before they will lend any money. The position of a secured creditor is almost always far better than being an unsecured lender.

At Les Keady Legal, we listen to our clients to establish their priorities; we provide advice on issues in litigation and its effect on reputation. You can have confidence in us to provide you with legal advice to meet your needs in timely and cost effective manner. We are based in south Sydney area, and also offer a mobile service, where we come to you.