Insolvency Measures In New Zealand: A Temporary 79 DIP Model

Abstract

The Companies Act 1993 governs corporate restructuring and insolvency of New Zealand corporations, including distributions of a company's assets to creditors. New Zealand's main corporate restructuring processes are creditor compromises, schemes of arrangement, receivership, voluntary administration and liquidation. There are no circumstances under which a company or its directors are obliged to commence formal insolvency proceedings. However, directors may initiate formal insolvency proceedings to minimize the risk of personal liability for reckless trading Show more