BECOME A MEMBER
Connecting New Zealand

Insolvency clawback period to be reduced?

06 Dec 2019


The Government has agreed to a number of changes to insolvency law, publishing a Cabinet paper outlining proposed reforms based on recommendations made in a May 2017 report from the Insolvency Review Working Group.

CCNZ made a submission on these reforms in 2017, also mobilising the civil construction industry to take on high-profile cases where contractors had payments received from insolvent companies reclaimed by liquidators. Despite slow progress on legislative change, it seems reforms to legislation may be introduced next year.

The current law means payments received by a contractor can be subject to claw back for up to two years, which creates massive uncertainty and inhibits business confidence and development.

CCNZ supports the proposed changes. Of particular interest for contractors will be changes to shorten the ‘clawback’ period during which liquidators can claw back payments from unrelated creditors to six months and extending the period for related creditors to four years. This process currently creates uncertainty and inhibits business confidence and development.

 

 

RELATED


Principal Business Partner
Core Associates
Major Associates
MATES In Construction
Mico New Zealand Ltd
beforeUdig
TLC Insurance Limited
Winstone Aggregates
Hynds Pipe Systems
Global Survey - Auckland
BNZ Partners
TR Group
CivilShare
Porter Group Limited
Youngman Richardson
Manage Company
Mimico NZ Ltd
Teletrac Navman
Turbo Staff Limited
Vertu Equipment Limited
Solo
Southeys Group Auckland
Geofabrics New Zealand Ltd
n3
Marley NZ Ltd
Firth Certified Concrete
Doug the Digger
Infrastructure New Zealand
3PM
ERoad Ltd
SAMI Bitumen Technologies New Zealand Ltd
Sheet Pile Ltd
H.J. Asmuss & Co. Ltd
Western Institute of Technology Limited
Waka Kotahi NZ Transport Agency
Milwaukee Tool New Zealand
Komatsu NZ Ltd
NZ ISCA
SITECH NZ
Terra Cat
Assignar
TRIG Instruments
Wirtgen NZ Ltd
TotalEnergies NZ Ltd
Turners Group Ltd: Head Office/Auckland
Geosynthetic Partners International Ltd
ENZED
Liebherr New Zealand
TVH NEW ZEALAND
nib Advice Financial
TDX Ltd
UDC Finance
First Gas
Synergy Positioning Systems
Humes Pipeline Systems
Connexis
A B Equipment Ltd
John Deere Limited

Login





Forgot password?
Create an Account