Farm Debt Mediation Bill expected to become law soon

Article copied with permission from Kensington Swan.

The Primary Production Select Committee has reported back to the house on the Farm Debt Mediation Bill (No 2). The select committee has unanimously recommended that the Bill be passed by the House with some amendments to the original bill. The Bill will require secured lenders, as a prerequisite to taking any enforcement action, to offer mediation to a farmer and participate in the process in good faith. Farmers who are in financial trouble will also be able to initiate mediation regardless of whether a default has occurred.

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Aussie-style change proposes private insolvency practitioners

Political efforts to change insolvency law are taking inspiration from Australia.

Labour MP Raymond Huo is consulting with the private sector about a bill that would allow private sector insolvency practitioners to take the place of government-employed official assignees, inviting the private sector into a role that has previously been monopolised by the government.

Read more in the NBR

Lessons from Lehman: the perils and “arrogance” of cross-border insolvency

Members who attended the RITANZ Annual Conference in Auckland this year will have enjoyed a fascinating session on the Lehman collapse and a retrospective look at the causes of this and whether anything has positively changed in our approach to cross border insolvency.

The NBR attended this session and have produced the following article flowing from that discussion:

Lessons from Lehman – by Reweti Kohere, NBR

Update – Insolvency set off PPSA Hamersley v Forge

 

Members who attended the RITANZ Annual Conference in Auckland this year may recall Steve Flynn’s presentation strongly questioning the outcome in the Western Australian case of Hamersley v Forge, which involved the important issue of the inter-relationship between insolvency set off and PPSA. Steve’s subsequent article can be found at (2018) 29 JBFLP 175.

The Western Australian Court of Appeal has now overturned the lower court decision – a succinct case note on the appeal can be found at:

http://www.chapmantripp.com/publications/update-integrity-of-set-off-rights-restored