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Navigate Safe Harbour with Confidence

Understanding Safe Harbour can be the key to protecting your clients and guiding them through financial distress with confidence. As an accountant or lawyer, having a clear grasp of insolvency protection strategies ensures you can provide the best advice while mitigating risk.

Download our Safe Harbour free e-book

Recommended For

Brokers

Advisors

Accountants

Lawyers

Financial Professionals

Venture Capitalists

Dive deeper into Safe Harbour protections with our comprehensive eBook, designed to help accountants and lawyers confidently navigate insolvency challenges. This resource breaks down key strategies, legal insights, and practical steps to help safeguard your clients from unnecessary risks. Download your free copy today and gain the knowledge you need to provide smarter, more strategic advice.

Ready to Book in a Complete Strategy Session?

For those ready to take the next step, book a comprehensive safe harbour strategy session. Our experts are prepared to guide you through the nuances of Safe Harbour provisions, ensuring your organisation or clients are well-protected and compliant. You will also gain insights from advanced case studies that highlight successful applications of these provisions.

Neil Cussen

Principal, Olvera Advisors

Kate Barnet

Principal, Olvera Advisors

Our Work In Construction

Appointed Receivers and Managers over eight blocks (or stages) of land in the Salt Development.

The appointment was by the Pacific Alliance Group (Hong Kong) who had the top secured debt. Pacific Alliance Group appointed an agent in Australia called in the Winton Group which managed large parts of the Receivership.

The Receivership involved devising realisation strategies or the remaining uncompleted land development stages. As the receiver, we successfully engaged consultants to assist us to amend the construction certificates for the development stages and to develop and subdivide the remaining development stages. The subdivision was successfully remarketed and resulted in a very impressive realisation value of the land stock. In addition, we were able to successfully apply the GST margin scheme resulting in an increased return to the secured creditor.

OUR CLIENT

Kingscliff

JOB TYPE

Strategy Execution

Practitioner

Tom Hedley sold his Hedley Hotel Group to Coles Myer in 2006 for $328 million.

The Queensland portfolio counted 35 hotels, 102 retail liquor outlets, and sites for a further 17 botteshops, significantly boosting Coles’ expansion.

Tom Hedley went on to form Hedley Leisure and Gaming later renamed Redcape Property Group (RPG), and operational entity Hedz, which worked 12 of Redcape’s assets.

Hedley Construction was a group of development entities based out of Cairns which designed and built low rise residential accommodation. It also held a controlling state in Redcape Hotel Group which owned.

Olvera principals worked with the company owner Tom Hedley on a restructure of his entire group and its facilities with ANZ Banking Group.

OUR CLIENT

Hedley Construction

OUR CLIENT

Kingscliff

JOB TYPE

Strategy Execution

Practitioner

Olvera Advisors were engaged by a hedge fund out of Hong Kong to assist with the realisation of a significant commercial loan that was in default.

Wija leased vacant land site in Chatswood that had a 99-year term. The Development Application on the land stipulated that it was to construct a 10 storey mixed residential/commercial complex within a specified timeframe.

Unfortunately, Wija did not commence the project within the time frame and consequently a breach notice was issued by the respective local Council which gave the secured creditor 6 months to rectify. Before the notice period expired, Olvera Advisors were Appointed as receivers. As receivers, we disputed the right to terminate the lease. In particular, we consider that the lessor was not allowed to terminate without giving the secured creditor 6 months to rectify the breach. To rectify the issues, we commenced proceedings seeking from the court for relief against Forfeiture and the leaseback and damages.

After nearly 12 months of legal proceedings, both sides are irresolute in the stance. All offers made by PAT to settle (including significant compensation) are rejected by the lessor.

Receivers receive an unsolicited offer from an interested party offering to purchase the property for a significant sum with the intention of building out the existing DA.

Olvera Advisors as receivers then entered into put and call option with the interested party and were able to resolve litigation at the mediation and sell the lease and generating a significant return to the secured creditor.

OUR CLIENT

Wija Civic Plaza

JOB TYPE

Strategy Execution

Practitioner

Educational Material

Detailed Guides

Easy-to-understand documents detailing safe harbour rules, eligibility, and applications.

Legislative References

Direct links to or copies of the relevant legislative texts and updates.

Expert Articles

Insights from legal experts on the nuances and recent developments in safe harbour laws.

Our Safe Harbour Professionals

Get answers to common questions about Safe Harbour. 

Kate Barnet

Principal
Kate Barnet is a recognised leader in the insolvency and reconstruction industry.

Neil Cussen

Principal
Neil is a distinguished authority in the Insolvency and Reconstruction sector, bringing over 35 years of experience to Olvera Advisors.
FAQs

Frequently Asked Questions 

Get answers to common questions about Safe Harbour. 

What are Safe Harbour provisions and how can they protect my company?
Safe Harbour provisions are designed to shield directors from personal liability for insolvent trading when they are actively trying to turn around a financially distressed company. Protection applies as long as the course of action being taken is likely to lead to a better outcome than immediate liquidation or administration.
To qualify, directors must ensure the company meets its employee entitlements, stays compliant with tax reporting obligations, and the turnaround plan is likely to improve the company’s financial situation. Seeking advice from qualified entities is also crucial.
Safe Harbour engagement requires maintaining accurate financial records and regular monitoring of both financial status and restructuring efforts. It emphasizes robust governance with clear documentation of all decisions and strategies.
These provisions cannot be applied retrospectively. Protection starts when the company begins to develop and act on a restructuring plan that meets Safe Harbour conditions.
The process includes assessing the company’s financial health, consulting with advisors to develop a turnaround plan, and implementing operational and financial restructuring. Continuous monitoring and adjustment of the plan are essential.
There is no set time limit for Safe Harbour protection. It lasts as long as the company meets the eligibility criteria and actively works towards a better outcome, with periodic reassessment of the plan’s viability.
If the plan fails, directors may need to consider other options like voluntary administration or liquidation. However, failure of the plan does not reinstate liability for insolvent trading during the protection period if compliance with eligibility criteria was maintained.
Safe Harbour does not permit actions that are dishonest or against the best interests of creditors, such as fraudulent activities or preferential treatment of certain creditors. Actions must aim at achieving a collective better outcome for the company and its creditors.

We acknowledge the Traditional Custodians of the land on which our office stands and pay our respects to Elders past, present, and emerging.
We also extend our acknowledgment to the Stolen Generations and reaffirm our commitment to supporting them on their journey toward healing.