Dispute
Shareholder & partnership disputes that lead to insolvency appointments
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How We Help
Unlock the deadlock of disputes
Settle a dispute with a third-party or internal parties to find and enable fair and acceptable outcomes. Engage experts with a unique acumen and niche qualifications who want to listen to your story, without judgement, to offer proven pathways out of the deadlock of disputes.
The sooner you seek options, the more you'll have.
How we can help
Conflicts and disputes are the bedfellows of business and asset ownership. Finger pointing between business partners—about who funded this, who contributed that—often arise when directors or business partners are dealing with the stresses of financial difficulties and economic uncertainty. Similarly, when relationships break down and people want to deal with property differently they can find themselves in a deadlock.
A dispute between co-owners of real property can lead to needing to appoint a statutory trustee through the court to administer the sale and distribute its proceeds.
When partners in dispute they can apply to court to relinquish some of their powers to empower a receiver & manager to take over business operations. The court appointment and order outlines what elements and duties are at play in response to the particular circumstances.
Secured creditors, such as a mortgagee, can turn to the court to appoint a recovery of property when they consider their interest in a property might be at risk due to disputes—or simply the writing is on the wall about the loan serviceability.
A deceased estate can be insolvent (unable to pay its debts) and the executors can appoint an independent expert to deal with creditor and family pressures/disputes.
Background
Many scenarios can spark an ugly or problematic dispute. It can manifest from passive-aggressive behaviour to full on aggression. These disputes dynamics are damaging to business operations or output; equally it's damaging to asset management and ownership.
Often it comes out of differing or changing viewpoints on the way things should be done or dealt with. More often it comes out of a lack of documentation.
Case study
Dealing with the unknown in the face of a death and debt left behind is a stressful time. This case study gives some guidance into how an insolvent deceased estate can become a bankrupt estate, thereby relieving the executors of the stress and challenges associated with the deceased’s creditors. This case study also exemplifies how the events leading up to a person’s death can be unwound to show what transactions, assets, and preconceived ‘protected’ money can be available to creditors in an insolvency administration appointment, after the death of a debtor.
Many people wrongly assume that when a person dies, all their financial dealings die too. This is incorrect—a person can be made bankrupt and their financial affairs can be investigated after they die.
In deceased estates with no assets or very few assets to distribute to creditors, administering it under State and Territory laws may be the easiest approach (subject to obtaining advice). This would likely involve notifying creditors that no assets are available to pay the deceased’s debts and therefore request creditors to write off their debts.
Independent expert
An independent expert is appointed to deal with the deceased estate and relieve the executors from dealing with creditor and family pressure. Creditors usually prefer an independent trustee to administer the estate.
Recoveries enabled
The Bankruptcy Act 1966 provisions might enable recoveries such as—undervalued transactions, transfers to defeat creditors, and preferential payments—that might not otherwise be available.
We speak with people and their advisors every day. We do this as complimentary and without expectation.
Principal, Gold Coast, Northern NSW
Principal, Gold Coast, Northern NSW
Principal, Western Sydney, Central West
Principal, Western Sydney, Central West
Principal, Canberra, Wollongong
Principal, Canberra, Wollongong
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Principal, Melbourne, Ringwood
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Principal, Perth
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