When is a Guarantee not a Guarantee?

When it is a Deed of Cross-Guarantee Introduction A Deed of Cross Guarantee is ASIC’s standard form document intended to free a corporate group from the chore of filing separate accounts for each wholly owned subsidiary. Provided relevant group companies have signed...

Understanding a Company Charge and the PPSA

Essentially, a company charge is a security interest held by a lender over the personal property of a company. The charge is given by the company (the charger) to the lender (the chargee) to secure payment of a debt or obligation. A charge does not give the lender a...

Positive credit reporting

What is positive credit reporting and does it matter? From 1 July 2018 the major banks (and any other authorised deposit taking institutions (ADI’s) with assets of at least $100 billion) will be required to supply to credit reporting bodies (CRBs) both negative and...

Penalty Clauses in Contracts

There was much media attention given recently to a decision of Australia’s High Court involving bank fees charged by the ANZ Bank, Andrews v Australian & New Zealand Banking Group Limited (‘the Bank case”). The main reason for the publicity was that the Court’s...

Linked Credit Providers

Financiers worried about the breadth of the linked credit provider provisions (in section 278) of the Australian Consumer Law (“ACL”) (formerly section 73 of the Trade Practices Act (“TPA”)) can take some comfort from the recent decision of the Full Federal Court of...