Insolvency & Restructuring Lawyers Brisbane
Summary
Astris Law advises creditors, directors and counterparties of distressed companies on insolvency matters under the Corporations Act 2001 (Cth). Services include statutory demands and winding-up applications for creditors, unfair preference claim defence, insolvent trading and director penalty notice advice, safe harbour restructuring, proofs of debt and dealings with liquidators and administrators. The firm works alongside registered insolvency practitioners and acts in the Supreme Court of Queensland and the Federal Court.
Overview
Insolvency law allocates the losses when a company fails, and where you stand in that allocation depends on decisions made early. Creditors who escalate quickly recover; creditors who wait prove into a liquidation for cents in the dollar. Directors who take advice inside the statutory windows keep options that disappear by default. Recipients of liquidator demands who respond from an assessed position settle for less or defeat the claim.
Astris Law's insolvency practice covers the creditor, director and counterparty sides of corporate distress, anchored in the Corporations Act 2001 (Cth) and run in the Supreme Court of Queensland and the Federal Court. The work is closely connected to the firm's litigation practice: statutory demands, winding-up proceedings, preference claims and guarantee enforcement are court processes, and they are run by the lawyer who appears on them.
How We Help
Australian corporate insolvencies are at their highest level in 25 years and Queensland carries a heavy share, led by construction and hospitality failures. Every distressed company generates legal work on at least three sides: the creditors owed money, the directors exposed personally and the counterparties caught in the fallout. Astris Law acts on all three.
For creditors, we run the recovery pathway with escalating pressure: letters of demand, statutory demands under s 459E of the Corporations Act 2001 (Cth), winding-up applications, proofs of debt, personal guarantee enforcement and PPSA security interests. The creditors who act first in a distress cycle are the ones who get paid, so the practice is built for speed.
For directors, we advise on ATO director penalty notices within the 21-day window, insolvent trading exposure under s 588G, the safe harbour protection under s 588GA and defending claims brought by liquidators. For businesses on the receiving end of a liquidator's clawback demand, we defend unfair preference claims using the good faith defence, the running account principle and rigorous testing of the liquidator's insolvency evidence.
We are not registered liquidators and do not take appointments. That independence matters: we work alongside Brisbane insolvency practitioners and accountants, advising their clients on the legal side of a distress event while the practitioner manages the appointment, and we return referred clients to their advisers when the matter is done.
Common Situations
- A customer or debtor company is showing distress signals and you need to secure or recover your position before other creditors move
- Your company has been served with a statutory demand and the 21-day window to pay or apply to set it aside is running
- A liquidator has written demanding repayment of an unfair preference and you need the claim assessed before responding
- You have received an ATO director penalty notice and need advice on the remission options within 21 days
- Your company is distressed and you want to restructure under the safe harbour protection before insolvent trading exposure crystallises
- A counterparty has entered administration or liquidation and you need advice on proofs of debt, retention of title or continuing supply
Why Astris Law
Insolvency work runs on statutory deadlines measured in days. A sole senior practitioner can read the documents, form a view and act the same day, without a triage queue. Because the firm takes no insolvency appointments, referring accountants and insolvency practitioners can send clients without competitive risk.
What We Can Do
Our Special Interests
Key Legislation & Frameworks
Frequently Asked Questions
Do you act for liquidators or against them?
Both, depending on the matter, but the firm takes no insolvency appointments itself. We act for creditors pursuing recoveries, for directors and businesses defending claims brought by liquidators and for parties dealing with administrators. Not being a registered liquidator means we can defend preference claims and insolvent trading claims without the conflicts an appointment-taking practice carries.
What should I do when a customer goes into liquidation owing me money?
Three things, quickly. First, lodge a proof of debt so you participate in any distribution. Second, check whether anyone else is liable: a director who signed a personal guarantee, a related entity or a registrable security interest under the PPSA. Third, review the payments you received in the six months before the winding-up began, because a liquidator may later demand them back as unfair preferences and your trading records are the foundation of any defence.
Can a director be personally liable for company debts?
Yes, through several channels: insolvent trading under s 588G of the Corporations Act if the company traded while insolvent, ATO director penalty notices for unpaid PAYG, GST and superannuation, personal guarantees given to lenders and suppliers and breaches of directors duties. Each has its own defences and deadlines. The common thread is that early advice preserves options that disappear by default, particularly inside the 21-day DPN window.
What is safe harbour and when does it apply?
Safe harbour under s 588GA of the Corporations Act protects directors from insolvent trading liability while they pursue a course of action reasonably likely to lead to a better outcome for the company than immediate administration or liquidation. It requires the company to be paying employee entitlements and tax reporting to be up to date, and it works best when entered deliberately, with advice and a documented restructuring plan, before the position deteriorates.
Is it worth defending an unfair preference claim?
Often, yes. The liquidator must prove the company was insolvent when each payment was made, and several defences may apply: the good faith defence under s 588FG, the running account principle (significantly strengthened for creditors since the High Court abolished the peak indebtedness rule in 2023) and challenges to the insolvency evidence itself. Many demands are issued in bulk at inflated figures and settle at meaningful discounts once a credible defence is demonstrated.
Resource Centres
Debt Recovery for Creditors
The creditor's escalation pathway: fixed-fee letters of demand, statutory demands, court proceedings, enforcement and personal guarantees.
Unfair Preference Claim Defence
Received a liquidator's clawback demand? The good faith defence, the running account principle and how to respond from an assessed position.
Director Liability in Australia: The Complete Resource
Every source of personal liability for Australian directors in one place: insolvent trading, directors duties, ATO director penalty notices, WHS officer duties and ACL penalties.
Industries We Serve in Insolvency & Restructuring
Construction & Infrastructure
Legal support for construction contracts, infrastructure projects and building disputes in Queensland and Australia.
Banking, Private Equity & Venture Capital
Strategic legal counsel for banks, private equity firms and venture capital funds.
Aviation, Transport & Logistics
Comprehensive legal services for aviation operators, freight companies and logistics providers.
Need a insolvency & restructuring lawyer? Talk to Astris Law.
We work directly with our clients on insolvency & restructuring matters across Australia. No layers, no committees.