Insolvency processes are by definition resource-constrained environments, so artificial intelligence (AI) tools that enhance efficiency and reduce delay and cost (and ultimately improve creditor returns) are naturally a welcome development.
The potential for efficiency gains via AI use in insolvency processes and restructurings more generally is significant. This brings with it the opportunity to address some long-standing concerns over Australia’s insolvency regime’s complexity, inefficiency and cost – without the need for structural reform.
Given low levels of public trust and confidence in AI in Australia generally, and uncertainties as to how AI technology may ultimately develop, the way in which Australian…