News

Financial Reporting Panel

Thu, 09 Feb 2012 10:38:24 +1000

The Government has announced that the Financial Reporting Panel (FRP) will be wound up.

The FRP was established in 2006 to resolve contested issues between the Australian Securities and Investments Commission (ASIC) and reporting entities over the application of accounting standards to financial reports.

The Parliamentary Secretary to the Treasurer, David Bradbury said: 'The concept of the FRP as an alternative dispute resolution mechanism was a worthy one, but demand for the mechanism has proven to be too low to justify its continued operation."

The Government previously announced it would wind up the FRP in 2010-11 after only one case was referred to the FRP between 2006 and 2010. Four cases were referred to the FRP in August 2010, which led to the Government reviewing the ongoing role of the FRP. However, there have been no referrals to the body since that time.

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Issues for Public Cloud Users

Thu, 09 Feb 2012 10:35:34 +1000

Last month, in what is thought to be the largest criminal copyright case ever brought by the United States, authorities charged seven individuals and two companies who were allegedly responsible for massive worldwide online piracy. It is alleged the vehicle used was online file-sharing service Megaupload.

Megaupload is a public cloud service, meaning it provides a service for the storage of data virtually, however, its storage facilities are available to the general public over the internet (as opposed to a private cloud).

In addition to the charges laid, the Megaupload public cloud system has been taken offline greatly impacting on its various users (including business, not-for-profit and academics) who were utilising the service to legitimately store and share their files.

It is unclear when (if ever) users will be able to regain access to their data.

This case has provided a timely reminder to organisations for the need to have contingencies in place to reduce the risk of data loss.

Middletons have provided some recommendations for public cloud users, including doing one or more of the following:

* critical data should continue to be stored on-site with the user

* data should be stored with a number of public cloud providers - thus spreading the risk of a provider being shut down

* organisations should ensure that effective business continuity processes are in place in the event of data or service loss.

To view Middletons press release click here

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Online CLE now available

Wed, 08 Feb 2012 12:39:47 +1000

Now available to purchase, via the ACLA website, is a range of current CLE interactive online seminars.

Whether you are in the comfort of your own home, in the office or on your ipad, the Online CLE program is available for use 24 hours a day.

Each interactive Online CLE comes with an accompanying slide show that can be downloaded for your convenience.

Once you purchase and download the seminar you can watch it whenever you want, as many times as you want.

The number of CLE points gained for the registration and viewing of each seminar is stated on the purchasing page.

ACLA will continue to add to the suite of Online CLE and we encourage everyone to regularly check the website for the latest material.

To view the Online CLE library or to purchase a seminar click here.

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New Personal Property Securities Register

Fri, 27 Jan 2012 11:36:41 +1000

The Attorney-General, Nicola Roxon, has announced the new national personal property securities register will open for business on 30 January 2012. Stakeholders, including the major banks, have confirmed they are ready to proceed.

The new national register will help Australian consumers and businesses ensure the property they buy does not have a security interest over it.

The register will also provide additional protection for businesses that lease or supply goods, in the event that a debtor defaults or goes bankrupt. It will also replace more than 70 different Commonwealth, State and Territory acts and registers used to regulate personal property used as security.

The simplification of all these different registers will help make secured financing more accessible and reduce transaction costs, making lenders more willing to accept different kinds of personal property as security for loans.

Advice from the Attorney-General's Department indicates that the migration of over 4.7 million records from existing registers is progressing well. The existing registers transferring their data to the new register include the ASIC Register of Company Charges, the State Register of Encumbered Vehicles and Vehicle Securities Registers, and various other Bills of Sale, stock mortgage and crop lien registers.

Businesses and individuals that hold security interests will have up to two years to register their security.

To view the Attorney-General's media release click here

GST Financial Supply Provisions

Mon, 16 Jan 2012 10:30:43 +1000

In the 2010-11 Budget the Federal Government announced that it will amend the financial supply provisions of the GST law to clarify the operation of the legislation and reduce compliance and administrative costs, particularly for many small businesses, with effect from 1 July 2012.

Amendments implementing three of the seven measures agreed to by the Government were contained in Schedule 3 to the Tax Laws Amendment (2011 Measures No. 9) Bill 2011, which was introduced into Parliament on 23 November 2011.

The Federal Government has now released draft regulations implementing the remaining four measures. These measures are:

simplifying the treatment of hire purchase transactions by making them fully taxable;
expanding the range of expenses qualifying for a reduced input tax credit to include superannuation funds providing life insurance products, lenders' mortgage reinsurance and transactional fraud monitoring;
changes to the reduced input tax credit for trustee and responsible entity services; and
clarifying the language used in relation to guarantees and indemnities.

The changes are to have effect from 1 July 2012.

Interested parties are invited to comment on the exposure draft. Closing date for submissions is Friday 24 February 2012.

Click here to find out more and view the Exposure Draft Regulations.

Merger and Acquisition Hot Spot in 2012

Wed, 21 Dec 2011 10:02:16 +1000

Due to cashed-up companies, Australia is expected to remain a hot spot of merger and acquisition activity in 2012 according to a report in the Australian Financial Review.

A survey from global law firm Allen & Overy found the number of mergers and acquisitions has slumped 10 per cent in the past year, moving from 779 in 2010 to 725 in 2011.

However, the strength of the Australian economy and thriving energy and resources sectors have attracted a spate of gloabl interest and turned the economy into a 'safe haven' for investors, the survey said.

The survey cited major buyouts, including SAB Miller's $US12.3 billion takeover of Fosters and Foxtel's $US2 billion takeover of regional TV operator Austar to illustrate activity across the Australian market.

Australia's top 100 companies have boosted their stockpiles of cash or cash equivalent by 15 per cent to $US67.01 billion as a buffer against global uncertainty, giving them ample liquidity to launch new deals in the years ahead, the report found.

Across 12 major global economies, companies have built up their cash holdings by 17 per cent in 2011 and by almost a third compared to two years ago as they remain reluctant to spend capital on M&A Deals.

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ACLA celebrates its 20th Anniversary

Mon, 19 Dec 2011 11:09:42 +1000

The 19 December marks the 20th Anniversary of incorporation under the ACLA name.

"This is a significant achievement for the association, we are proud of our strong heritage and the people that formed the association 20 years ago today," said ACLA CEO Trish Hyde.

"We are growing in numbers and strength daily and look forward to the next 20 years of putting in-house on the map."

ACLA's history can be traced back even further to the mid 1980's when a Memorandum of Understanding between four State-based associations in NSW, Victoria, South Australia and Western Australia was first signed under the banner of a then unincorporated association.

By 1991 the call for the amalgamation of the disparate State-based associations under a properly constituted national body was gathering pace. The ACLA name was registered on 19 December 1991 thus officially establishing ACLA as the legal entity we know today.

There have been many notable achievements over the past 20 years, including the:

Formation of ACLA's seven divisions (New South Wales, Victoria, Western Australia, Queensland, South Australia, ACT and Tasmania)
Establishment of the ACLA Australia In-house Lawyer Awards
Creation of ACLA's quarterly journal - The Australian Corporate Lawyer
Development of a 40 chapter online publication - the ACLA In-house Practice Manual
Upgrade of ACLA's website, a valuable tool for members
Establishment of a free National Mentoring Program for members
Educational opportunities offering a wide and accessible range of CLE/CPD opportunities, with over 150 events across the country each year

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Nicola Roxon Nation's First Female Attorney-General

Mon, 12 Dec 2011 15:07:39 +1000

Prime Minister Julia Gillard announced a reshuffled Cabinet today that expands the team from 20 to 22 and see's the Nation's first female Attorney-General.

Ms Roxon will become the nation's first female Attorney-General "and I know that she will do it with distinction", Ms Gillard said.

Ms Roxon, who has a law degree and was a judge's associate to former High Court Justice Mary Gaudron in the 1990s, was shadow attorney-general for three years before taking the health portfolio.

As Health Minister she has led a crusade against smoking, including the world-first legislation for plain packaging of cigarettes. Now as Attorney-General, Ms Roxon will lead the Federal Government's fight to defend this law against a challenge from big tobacco.

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Inquiry into the Future of the AGM

Wed, 07 Dec 2011 11:44:38 +1000

Parliamentary Secretary to the Treasurer, David Bradley announced the Government will ask the Commonwealth’s corporate law advisory body to examine the future of the company annual general meeting (AGM).

The Corporations and Markets Advisory Committee (CAMAC) will look at how the AGM may operate into the future and how it might better deliver opportunities for shareholder engagement.

The inquiry has been designed to help inform future policy directions about how the regulations governing the operation of the AGM might be refined to encourage improved outcomes for companies and shareholders.

The terms of reference for the inquiry are:

The future of the AGM in Australia, including how documents and meeting forms should change to meet the needs of shareholders in the future
The risks and opportunities presented by advancements in technology, in the context of maintaining the ongoing relevance and efficacy of the AGM; and
The challenges posed to the structure of the AGM by globalisation, including potential increases in international share-ownership and dual listing.

To find out more regarding the terms of reference and letter of referral click here

The Carbon Tax - what needs to be done to prepare for it?

Wed, 09 Nov 2011 09:31:02 +1000

The Clean Energy Bill 2011 and the associated 18 Bills setting out the Carbon Pricing Mechanism were approved by the Senate yesterday.

Obligations under the legislation will commence on a date to be fixed by Proclamation and are anticipated to commence from 1 July 2012.

All businesses with a direct liability under the Carbon Pricing Mechanism or with significant indirect costs (such as increased electricity and gas costs) should be investigating what the Mechanism means for their business.

Middletons, a Corporate Alliance Partner of ACLA, have prepared a range of action items for businesses to consider in preparation for the commencement of the legislation.

Please click here to view the full article from Middletons.

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