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Shine Lawyers expert insolvency opinion sought regarding Virgin Australia

22 April 2020

Commercial litigation

Virgin Australia, like many companies navigating the COVID-19 pandemic, is at a crossroads.  On Tuesday 21 April, the company confirmed the appointment of Deloitte as their voluntary administrator, who will determine whether it is possible to emerge "in a stronger financial position on the other side of the COVID-19 crisis". 

In light of this development, The Daily Telegraph sought Insolvency and Commercial Litigation Practice Leader Michael Lalji’s expert legal opinion regarding what this will mean for the company and its stakeholders, addressing: 

  • What if the company gets liquidated? 

  • Will travel insurance cover voluntary administration? 

  • What happens to flights with Virgin? 

  • Will I be able to get my money back on flights or credit notes? 

  • What if I have a credit note? 

  • What happens to my Velocity Frequent Flyer points? 

  • What if I booked with Virgin but the flight is operated by another airline? 

  • What will happen to flight costs if the airline goes under? 

You can read the full article with The Daily Telegraph here. The unprecedented restrictions on business arising from the COVID-19 coronavirus pandemic are proving extremely challenging for many otherwise profitable and viable businesses.

Click here to learn about what the temporary changes to the Australian insolvency laws mean in practice. 

Shine Lawyer's insolvency law experts are here to help Australian businesses through these uncertain times.

Contact our team today for an obligation-free consultation. Remember that you are not alone during this stressful time and you shouldn’t be afraid to ask for help. If you need urgent support with your mental health, reach out to Beyond Blue or Lifeline.

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