Shortening the maximum length of time a bankrupt person must serve their penalty before they are discharged was missing from a slender suite of bankruptcy law reforms outlined yesterday by the Attorney-General Mark Dreyfus.
There is only one real reform proposed, with one other conceptual reform on a Minimal Asset Procedure thrown open for consultation.
The key reform is: Removing the proposal, or acceptance, of a debt agreement as an act of bankruptcy.
This will reduce the number of bankruptcies and, potentially, fan demand for debt agreements.
Dreyfus proposes to tinker with:
Increasing the threshold for involuntary bankruptcies from $10,000 to $20,000, with the threshold to be indexed each year;
Increasing the timeframe i…
Read the full article at: https://www.bankingday.com/minimal-bankruptcy-reforms-tabled-by-mark-dreyfus