On 24 March 2020, the Coronavirus Economic Response Package Omnibus Act 2020 (Cth) (‘Omnibus Act’) was enacted as part of the Commonwealth government’s economic response to the Coronavirus. The Omnibus Act made changes to the Bankruptcy and Corporations Acts and Regulations. These changes were intended to extend for six months, but were later (in September 2020) extended to 31 December 2020.
Bankruptcy – COVID-19 changes
The changes, brought about by the Coronavirus Economic Response Package Omnibus Act 2020, were:
- The prescribed amount for a creditor to apply for a Bankruptcy Notice against a debtor increased from $5,000 to $20,000;
- Correspondingly, the prescribed amount in respect of which a creditor’s petition…
