Government Resources:
https://treasury.govt.nz/news-and-events/news
https://www.beehive.govt.nz/release/further-measures-support-businesses
https://www.beehive.govt.nz/release/business-finance-guarantee
https://www.companiesoffice.govt.nz/news-and-notices/insolvency-relief-for-businesses-impacted-by-covid-19/
An Australian perspective:
Australian Covid-19 Insolvency Law changes: article here
The Legal Perspective:
We share general notes from Lowndes Jordan on:
• Leases
• The Government's Insolvency Response
• Force Majeure/Frustration
The following articles from Stace Hammond also provide insight on key topics:
• Director duties
• Implications for commercial contracts
• Lease rent abatement
• Enforceability of guarantees
• Proposed Companies Act changes
And the following article from Dentons Kensington Swan also provide insight on:
• Relaxing insolvency related director duties
These articles provide a summary of the tax relief measures:
• Anthony Harper Tax Relief Measures:
• IRD
• NZ Herald
Wage Subsidy:
The COVID-19 Wage Subsidy is available to employers, contractors, sole traders or people who are self-employed. More information is found here
• This BDO Q & A on Wage Subsidy is a helpful guide
• Work and Income
RITANZ updates:
https://www.ritanz.org.nz/covid-19-external-resources/
https://www.ritanz.org.nz/covid-19-further-measures-to-support-businesses/
How does business debt hibernation compare to other company insolvency procedures?
(sourced from RITANZ)
The business debt hibernation scheme has some of the features of a creditors’ compromise under Part 14 of the CA and of a voluntary administration under Part 15A of the CA. However, unlike a creditors’ compromise or a voluntary administration, the only relief (in the absence of creditor agreement) available to a company will be a six-month moratorium on the enforcement of debts. We set out below a table comparing the differences between business debt hibernation, a creditors’ compromise, and voluntary administration.
https://treasury.govt.nz/news-and-events/news
https://www.beehive.govt.nz/release/further-measures-support-businesses
https://www.beehive.govt.nz/release/business-finance-guarantee
https://www.companiesoffice.govt.nz/news-and-notices/insolvency-relief-for-businesses-impacted-by-covid-19/
An Australian perspective:
Australian Covid-19 Insolvency Law changes: article here
The Legal Perspective:
We share general notes from Lowndes Jordan on:
• Leases
• The Government's Insolvency Response
• Force Majeure/Frustration
The following articles from Stace Hammond also provide insight on key topics:
• Director duties
• Implications for commercial contracts
• Lease rent abatement
• Enforceability of guarantees
• Proposed Companies Act changes
And the following article from Dentons Kensington Swan also provide insight on:
• Relaxing insolvency related director duties
These articles provide a summary of the tax relief measures:
• Anthony Harper Tax Relief Measures:
• IRD
• NZ Herald
Wage Subsidy:
The COVID-19 Wage Subsidy is available to employers, contractors, sole traders or people who are self-employed. More information is found here
• This BDO Q & A on Wage Subsidy is a helpful guide
• Work and Income
RITANZ updates:
https://www.ritanz.org.nz/covid-19-external-resources/
https://www.ritanz.org.nz/covid-19-further-measures-to-support-businesses/
How does business debt hibernation compare to other company insolvency procedures?
(sourced from RITANZ)
The business debt hibernation scheme has some of the features of a creditors’ compromise under Part 14 of the CA and of a voluntary administration under Part 15A of the CA. However, unlike a creditors’ compromise or a voluntary administration, the only relief (in the absence of creditor agreement) available to a company will be a six-month moratorium on the enforcement of debts. We set out below a table comparing the differences between business debt hibernation, a creditors’ compromise, and voluntary administration.
