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Mark Harley is recognised as a Recommended Commercial Litigation & Dispute Resolution Lawyer, Queensland, in Doyle’s Guide 2026. View recognition.
Insolvency advice and litigation for directors, companies, creditors and insolvency practitioners. Assess recovery claims, disputed liabilities and the next commercial decision with direct principal involvement.
Key Takeaways
Boss Lawyers advises directors, companies, creditors and insolvency practitioners on insolvency disputes and proposed recovery proceedings. Principal Solicitor Mark Harley works with clients to assess the records, the issues in dispute and the commercial purpose of the proposed work.
Our work includes responding to or pursuing recovery claims, disputed debts, director claims and contested insolvency proceedings. Who we can act for depends on a conflict check and the circumstances of the matter.
Tell us who is involved, the stage of any appointment or proceedings, and any approaching response date. After conflict screening, we will identify the appointment documents, demands, pleadings, financial records and correspondence required for the proposed assessment. Scope and fees are confirmed before substantive work begins.
For related disputes, see director disputes and commercial litigation.
Advising a business under financial pressure? Our referral guide for accountants and professional advisers explains the information worth gathering and how to raise an urgent concern.
While insolvency refers to a company’s financial distress, bankruptcy is a legal process typically applied to individuals. For companies, insolvency can lead to voluntary administration, liquidation, or receivership, depending on the circumstances. In some cases, bankruptcy proceedings may be relevant for company directors facing personal liability.
Directors must comply with duties owed to the company and assess its financial position carefully. Creditor interests become particularly important when the company is insolvent or at real risk of insolvency. The relevant duties, potential claims and any personal exposure require assessment against the facts and applicable law.
Seek advice before the company incurs further debts if insolvency may be an issue. Consider the company’s current and forecast financial position, the evidence available and any appropriate restructuring or formal appointment. Defences and safe harbour have specific requirements; continued trading should not be based on an assumption that a protection applies.
Get advice immediately about a statutory demand, winding-up application or other formal notice. Identify the document, when and how it was served, and the relevant response deadline. The available steps depend on the particular document and circumstances. An application to set aside a statutory demand has strict filing and service requirements; informal negotiations alone do not stop time.
Financial distress frequently gives rise to contractual disputes, regulatory disputes and enforcement actions. Our commercial litigation team adopts a proactive approach to dispute resolution, working alongside directors, insolvency practitioners and creditors to minimise escalation wherever possible.
When disputes cannot be resolved informally, we provide strong and strategic representation in legal proceedings to protect your business interests and commercial position.
Engaging proactively with creditors can lead to better outcomes for both parties. Negotiation strategies may include debt restructuring, extended payment terms, or voluntary administration to formulate a formal arrangement.
Unpaid debts are a significant contributor to corporate insolvency. Companies struggling with cash flow due to non-paying clients may face financial distress, making proactive debt recovery essential. Legal avenues for debt recovery include issuing creditors’ statutory demands, engaging debt collection agencies, and initiating court proceedings. Additionally, when a debtor company enters insolvency, liquidators may pursue outstanding debts on behalf of creditors to maximise returns.
If your business is facing difficulties in recovering debts or being pursued for unpaid obligations, seeking legal guidance early can help you navigate these challenges effectively.
Liquidators have the authority to investigate transactions, recover assets, and pursue directors for insolvent trading or voidable transaction claims. Seeking legal guidance can help directors minimise personal exposure and defend against unwarranted claims.
Review your personal exposure before dealing with assets, including guarantees, security interests, director penalties and potential claims. Do not move assets to another person or entity to defeat creditors. Preserve records and obtain advice before selling, transferring, securing or withdrawing assets. Earlier transactions may also need review.
Boss Lawyers is a leading insolvency lawyer in Brisbane, with deep expertise in restructuring, insolvency and commercial litigation. Our lawyers focus on corporate advisory services and are well versed in the commercial insolvency process.
We provide strategic advice to company directors facing financial distress or insolvency in Brisbane. Our legal team works closely with liquidators, administrators and business owners to navigate insolvency matters effectively.
Our insolvency and commercial litigation team provides:
We regularly act for directors, creditors, liquidators and small businesses facing complex insolvency and commercial disputes.
With a extensive experience in complex insolvency and restructuring matters, we focus on protecting your position while positioning you for stability and recovery wherever possible.
Corporate insolvency frequently gives rise to complex legal disputes. Financial distress can trigger claims involving directors, creditors, shareholders and insolvency practitioners. Our role is to provide strategic representation in litigation directly connected to insolvency appointments, restructuring efforts and director liability risks.
Boss Lawyers acts in disputes arising from:
Our team works proactively to resolve insolvency-related disputes at an early stage wherever possible. However, when litigation is necessary, we provide strong, commercially focused representation to protect your position and minimise personal and financial exposure.
By aligning our commercial litigation expertise directly with insolvency law, we ensure that every strategy is grounded in the realities of restructuring, creditor rights and director obligations under the Corporations Act.
Tell us briefly what has happened, who is involved and whether there is a deadline. After conflict screening, we can identify the documents needed to assess the proposed scope and provide an estimate for the next stage.
If you have received a statutory demand, court document or director penalty notice, call 1300 267 711 promptly and identify the deadline. Sending an enquiry does not confirm that we can act or are monitoring a deadline.
The early warning signs of corporate insolvency can include persistent cash flow problems, an inability to pay creditors or employees on time, reliance on extended credit terms, receiving legal notices such as statutory demands, declining sales or profitability, and an increasing reliance on short-term borrowing to meet day-to-day expenses. Other red flags include unpaid tax liabilities, creditor lawsuits, and difficulty securing new financing. If your business is experiencing any of these signs, it is essential to seek legal and financial advice immediately to explore possible solutions before the situation worsens. Boss Lawyers are an insolvency firm in Brisbane with the experience necessary to navigate insolvency issues.
Voluntary administration places an independent administrator in control while the company’s position and options are investigated. Creditors decide whether to accept a deed of company arrangement, end the administration or wind up the company. Liquidation is the process of winding up the company’s affairs and distributing available assets. Neither process guarantees that debts will be paid in full.
Unpaid customer debts can contribute to financial pressure. Before taking recovery action, assess the debt, supporting documents, any genuine dispute and the debtor’s ability to pay. Different procedures have different requirements. If a company enters external administration, obtain advice on how to lodge or pursue a claim and what restrictions apply.
Directors may face personal exposure through guarantees, director penalties, insolvent trading or other breaches of duty where the applicable requirements are met. Liability depends on the facts, timing and available defences or protections. A company’s unpaid debt does not automatically become every director’s personal debt. Obtain advice before incurring further obligations or dealing with assets.
Obtain legal advice immediately and record when and how the demand was served. The statutory period is generally 21 days after service. To apply to set it aside, the company must file the application and supporting affidavit and serve copies within that period. Negotiations alone do not stop the deadline. The debt, service, any genuine dispute or offsetting claim, and any defect require assessment.
If the company may be unable to pay debts when due, obtain urgent advice before incurring further debts. Directors must assess their duties and whether a properly documented restructuring course, safe harbour or formal appointment is appropriate. The available protections are conditional. After an administrator or liquidator is appointed, decisions about continuing the business fall within that appointee’s powers and duties.
Seek advice about your actual exposure, including guarantees, security interests, director penalties and any potential claims. Do not transfer assets to a spouse, trust or another entity to defeat creditors. Transfers and transactions can be investigated and challenged. Preserve financial records and obtain advice before selling, transferring, securing or withdrawing assets.
Boss Lawyers advises directors, creditors and insolvency practitioners about financial distress, restructuring options and insolvency disputes. Tell us briefly what has happened, who is involved and any deadline. After conflict screening, we can identify the documents needed to assess the proposed scope and provide an estimate for the next stage. Call 1300 267 711 if the matter is urgent.
When a company is facing financial difficulty, directors have several formal options under the Corporations Act 2001 (Cth). The right choice depends on the company's financial position, the nature of its debts, and whether there is a viable business to save.
A voluntary administrator takes control of the company while its position and options are investigated. ASIC explains that the meeting to decide the company’s future is generally held within 25 business days, or 30 business days around Christmas or Easter, unless extended. Creditors decide whether to accept a deed of company arrangement, end the administration or wind up the company. The timetable is not a guaranteed duration.
Eligible companies may use small business restructuring while directors retain control of the business, property and affairs, with assistance from a restructuring practitioner. ASIC’s eligibility summary includes total liabilities not exceeding $1 million and restrictions relating to earlier restructuring or simplified liquidation appointments. Further requirements apply to proposing a plan. Obtain advice on eligibility and whether a workable plan can be put to creditors.
A company may resolve to wind up voluntarily by special resolution under section 491 of the Corporations Act. Directors and members should obtain advice about the appropriate process and appointment of a registered liquidator. A liquidator investigates the company’s affairs, realises assets and distributes available funds according to the applicable priorities. Returns depend on the assets, claims and costs.
A court may order a company to be wound up on an application by an eligible applicant, including a creditor under section 459P. Failure to comply with a valid statutory demand can support a presumption of insolvency for a winding-up application; liquidation is not automatic. Section 468 addresses dispositions after commencement of a court winding up, subject to exceptions and court orders.
Directors may face liability where a company incurs debts while insolvent, or becomes insolvent by incurring them, and the requirements of section 588G are met. The evidence, timing, reasonable grounds for suspecting insolvency, available defences and any safe harbour require careful assessment. Personal liability is not established merely because a company later enters liquidation.
Directors can incur penalties for specified unpaid company tax and superannuation liabilities. A director penalty notice is part of the ATO’s recovery process; liability may arise before the notice is issued. Obtain urgent advice about the liability, reporting history, applicable deadlines and any available response. Do not assume that liquidation, resignation or a payment arrangement will remove personal exposure.
Section 588GA can protect against specified liabilities where its conditions are met, including developing a course of action reasonably likely to lead to a better outcome for the company than immediate administration or liquidation. Employee-entitlement and tax-reporting compliance, the connection and timing of debts, and supporting records matter. Safe harbour is conditional protection, not immunity from all director duties.
If you are a director of a company in financial difficulty, obtaining legal advice early is critical. The earlier you act, the more options you have.
A statutory demand concerns a debt that is due and payable and meets the statutory minimum. The demand and supporting material must meet legal requirements. A company seeking to set it aside must file the application and supporting affidavit, and serve copies, within the statutory response period. Genuine disputes and offsetting claims require assessment. Non-compliance can support a winding-up application; a demand is not a substitute for resolving a genuinely disputed debt.
Once an administrator or liquidator is appointed, creditors are entitled to attend creditors meetings, vote on the company's future, lodge proofs of debt, and receive distributions from the realisation of assets in accordance with the s 556 priority waterfall.
If a company made payments or transferred assets before liquidation, those transactions may be voidable. Liquidators can pursue unfair preferences (s 588FA), uncommercial transactions (s 588FB), and unreasonable director-related transactions (s 588FDA).
If you need expert legal advice, our experienced team is here to help. Contact Boss Lawyers on 1300 267 711 or request a consultation online. We offer clear, practical advice focused on achieving the best outcome for your business.
