LAW5142 - Insolvency 506

Leader: John Duns

Offered

Clayton First semester 2007 (Day)

Synopsis

Topics include: the legal consequences of an individual or company becoming insolvent; the objectives and features of insolvency law; the proceedings leading to bankruptcy and liquidation; the impact of bankruptcy and liquidation on contractual and property rights; property available to creditors including the antecedent transaction provisions of the Bankruptcy Act and Corporations Law; claims which can be made in bankruptcy and liquidation; the administrative machinery of insolvency and alternatives to bankruptcy and liquidation.

Objectives

Upon completion of this unit students should

1. have a basic understanding of the various views, including economic theories, concerning the rationale for and objectives of insolvency law;
2. understand the meaning and significance of the legal concept of insolvency;
3. have an understanding of the impact of insolvency generally on an individual's rights and liabilities, including the impact of insolvency on contractual and property rights and on obligations;
4. understand the legal principles and rules governing bankruptcy and liquidation: including insolvency administration; voluntary and involuntary insolvency proceedings; the meaning and consequences of insolvency; the property available to creditors on bankruptcy/liquidation, including avoidance of antecedent transactions; the process of realising the insolvent estate for the benefit of creditors; criminal offences relating to bankruptcy; alternatives, formal and informal, to bankruptcy and liquidation;
5. be able to assess critically the effectiveness of the law in meeting its objectives; and
6. appreciate the alternatives available to insolvent debtors to bankruptcy and liquidation.

Assessment

Assignment (2500 words): 25%
Examination (2 hours writing time plus 30 minutes reading and noting time): 75%

Contact hours

Three hours of lectures per week

Prerequisites

LAW3400 or LAW3401 and LAW3402