Today the Australian Law Reform Commission’s (ALRC’s) third Interim Report in its three year review to reduce complexity in corporations and financial services legislation was tabled in Parliament by the Attorney-General of Australia, the Hon Mark Dreyfus KC MP.

Interim Report C includes proposals for restructuring and reframing financial services legislation to make it easier to navigate and understand.

Interim Report C demonstrates that the existing structure and framing of financial services legislation — which have developed in an ad hoc manner since the legislation was introduced in 2001 — are sources of unnecessary complexity in the legislative framework. This complexity has produced unnecessary costs for regulated persons, consumers, and other stakeholders.

The ALRC anticipates that the reform ideas in Interim Report C would offer considerable benefits to all users of the legislation, including consumers, industry, and regulated entities, by producing legislation that is easier to navigate and understand. This would, in turn, reduce the costs of compliance and the costs of enforcement faced by regulators and consumers.

Interim Report C contains 4 recommendations, 14 proposals, and 1 question.

The ALRC is seeking submissions from the public in response to the proposals and questions by 26 July 2022. Submissions and further consultations will help the ALRC to formulate its ultimate recommendations at the conclusion of the inquiry. Interim Report C is the final interim report due in this Inquiry and it provides the last opportunity for submissions before the Final Report.

The ALRC proposes that financial services legislation in the Corporations Act 2001 (Cth) and Australian Securities and Investments Commission Act 2001 (Cth) (known as the ASIC Act) should be restructured and reframed in accordance with accepted principles of legislative design. In particular, the ALRC proposes that there should be a Financial Services Law in a schedule to the Corporations Act 2001 (Cth), in similar manner to the Australian Consumer Law in Sch 2 to the Competition and Consumer Act 2010 (Cth).

Interim Report C also discusses how the ALRC’s broader proposals, including the proposed legislative model discussed in Interim Report B, may be implemented. The ALRC welcomes stakeholder feedback on its proposal for the creation of reform taskforces and the implementation roadmap detailed in Interim Report C.

The Inquiry is part of the Government’s response to the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry released in February 2019. The final report of the Inquiry is due by 30 November 2023.

The Attorney-General of Australia, the Hon Mark Dreyfus KC MP, has today announced an extension to the reporting deadline for the Australian Law Reform Commission’s (ALRC’s) Inquiry on Religious Educational Institutions and Anti-Discrimination Laws.

The report, which was initially due on 21 April 2023, will now be delivered to the Attorney General by 31 December 2023.

The extension responds to a request made by the ALRC in late February for further time to consider more than 420 submissions received in response to its Consultation Paper on reform proposals, and more than 40,000 survey responses.

Part-Time Commissioner tasked with leading the Inquiry, the Hon Justice Stephen Rothman AM, said that the ALRC was pleased to have been granted further time to work through the issues raised by stakeholders in relation to proposed reforms.

“The issues raised by this Inquiry are of great significance to a large number of Australians. It is important that the Commission considers the many varied perspectives thoroughly and sensitively.”

The extension will also enable the ALRC to engage further with its Advisory Committee in finalising its recommendations, but will not involve another round of broad consultations in light of the large volume of submission and survey responses already received.

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On 15 February 2023, the Australian Law Reform Commission, in association with the Corporate Law and Financial Regulation Research Program at Melbourne Law School, held a webinar on the regulation of crypto assets and Decentralised Autonomous Organisations (DAOs).

The webinar provided an update on regulatory developments in Australia and overseas, and explored the direction of future reforms.

Following an introduction by Professor Rosemary Langford of Melbourne Law School, Dr Andrew Godwin discussed relevant terminology and concepts and identified the challenges for regulatory design.

Mr Laurence White, barrister at the Victorian Bar, then spoke in detail about the regulatory and legal issues concerning crypto assets from a global perspective.

Ms Joni Pirovich, creator of LawFi DAO, discussed the standards necessary for legal recognition and limited liability for DAOs.

Finally, Emeritus Professor Myles McGregor-Lowndes OAM of QUT shared his experience on DAOs and the nonprofit sector, a sector in which DAOs have generated a significant amount of interest.

Selected Speakers Presentations

• Andrew Godwin, The Regulation of Crypto Assets and Decentralised Autonomous Organisations –Setting the Scene.
• Laurence White, Crypto Assets Regulation in Global Context.
• Myles McGregor-Lowndes OAM, DAOs and the Nonprofit Sector.

On 6 February 2023, Dr Andrew Godwin (Special Counsel and Team Leader at the Australian Law Reform Commission) presented a paper with Professor Rosemary Langford of Melbourne Law School on ‘Corporations, Financial Services and Charities — Regulatory Complexity and Coherence’. The paper was presented at a plenary session of the Society of Corporate Law Academics (SCOLA) 2023 Annual Conference at Swinburne University in Melbourne. The session was chaired by Emeritus Professor Stephen Bottomley of the ANU College of Law.

The paper examined complexity in the areas of corporations, financial services and charities regulation. Dr Godwin compared the challenges of complexity in each of these areas, outlined the work undertaken by the ALRC to date, including in the identification and use of complexity metrics, and engaged with research and commentary by academics such as Emeritus Professor Stephen Bottomley. Dr Godwin noted the potential benefits of metrics in terms of distinguishing between complicated and complex provisions, and agreed with Emeritus Professor Bottomley that ‘some degree of complexity is necessary or unavoidable, and that the task is to find the optimal or necessary degree of complexity to achieve the system’s aims (Stephen Bottomley, ‘The Complexity of Corporate Law’ (2022) 44(3) Sydney Law Review 415, 435).

Professor Langford then introducing her work in a research project funded by the Australian Research Council — ‘Restoring Public Trust in Charities: Reforming Governance and Enforcement’ — and explained the challenges of complexity and coherence in the regulation of charities. After outlining the causes of complexity — including overlapping duties and requirements, inconsistencies and constitutional limitations — Professor Langford suggested various solutions and concluded that some complexity is necessary to allow for diversity and nuance, and that it is a matter of managing/navigating necessary complexity and reducing unnecessary complexity.

The slides for Dr Godwin and Professor Langford’s presentation are available for download here.

The following image, highlighting the complexity of the Corporations Act, appears in the slides presented by Dr Godwin.

This article published in Australian Law Journal Volume 97 (1) by the Hon Justice Stephen Gageler AC addresses some of the key themes of the ALRC Report, Without Fear or Favour: Judicial Impartiality and the Law on Bias (ALRC Report 138).

Download article

Consultation Paper Released

On 27 January 2023, the Australian Law Reform Commission released a Consultation Paper with proposals for changing the way Commonwealth anti-discrimination law applies to religious schools and other educational institutions.

Stakeholder submissions are now invited.

Submissions close 24 February 2023.

Individual views and experiences

In addition to accepting formal written submissions from organisations and individuals on specific law reform proposals contained in the Consultation Paper, the ALRC has also provided a confidential survey for members of the public to share their views and experiences on some key questions relevant to the Inquiry.

Completion of the confidential survey does not preclude making a formal written submission on the propositions and technical proposals contained in the Consultation Paper – it is possible to do both.

The survey will remain open until 24 February 2023.

Previous Inquiries and Key Reports Considered

Extensive consultations have been undertaken previously on the issues under examination in the inquiry into Religious Educational Institutions and Anti-Discrimination Laws. 

The ALRC is considering submissions and reported findings from previous inquiries, in addition to key reports, published over almost 40 years, from 1984-2022, at Commonwealth, state, and territory levels.

What do you think?

Stakeholder feedback is crucial for developing recommendations for simplification of corporations and financial services legislation.

In this Background Paper, Reflecting on Reforms II – Submissions to Interim Report B, the ALRC provides an overview of the feedback it has received, by way of formal submissions, on questions and proposals outlined in Interim Report B. This feedback will inform the development of proposals in Interim Report C, as well as recommendations for reform made in the ALRC’s Final Report.

You’ve heard of SAOs, but what about DAOs?

WEBINAR Wednesday 15 February 2023 at 5.00pm AEDT

The Corporate Law and Financial Regulation Research Program, in association with the ALRC, are hosting a webinar on the regulation of crypto assets and Decentralised Autonomous Organisations (DAOs) on 15 February 2023.

The webinar will provide an update on regulatory developments in Australia and overseas, and will explore the direction of future reforms. Learn more about the speakers and register via the link below. 

ALRC DataHub – Are you curious?

The ALRC DataHub offers insights into Australia’s statute book and reflects our commitment to identifying, analysing, and understanding complexity in legislation and the law more generally.

Currently the DataHub includes 16 data sets that can be analysed by researchers to generate novel insights into Australian law and legal history. These data sets cover all Commonwealth Acts and regulations ever made, as well as other forms of delegated legislation. The ALRC has published seven case studies to show how the data can be used, including on lawmaking during the COVID-19 pandemic, issues of Law, War, and Peace, and a history of the Australian statute book.

User-friendly legislation: Why we need it, and how to achieve it

In a new article, Dr William Isdale and Nicholas Simoes da Silva share some ideas on how legislation could be made more ‘user-friendly?

“Modern smartphones are some of the most technologically sophisticated pieces of equipment ever invented. And yet, to operate one, you don’t need a PhD in computer science or years of experience. For the most part, their operations are intuitive and their functions easily navigable. If only the same could be said for all modern legislation.”

Want your own copy?

Limited copies of our latest reports are available for purchase.
Place your order now:

• Financial Services Legislation: Interim Report B (ALRC Report 139)
• Without Fear or Favour: Judicial Impartiality and the Law on Bias (ALRC Report 138)
• Corporate Criminal Responsibility (ALRC Report 136)

Or email info@alrc.gov.au to request copies of ALRC past reports.

The Australian Law Reform Commission (ALRC) today released a Consultation Paper with proposals for changing the way Commonwealth anti-discrimination law applies to religious schools and other educational institutions.

On 4 November 2022, Commonwealth Attorney-General, the Hon Mark Dreyfus MP KC, asked the ALRC to recommend reforms to the law to implement the Government’s policy commitments in this area in a way that is consistent with Australia’s international legal obligations.

The paper sets out four general propositions supported by 14 technical proposals for reform. If adopted, these would:

• make discrimination against students on the grounds of sexual orientation, gender identity, marital or relationship status, or pregnancy in schools and other religious educational institutions unlawful, by removing exceptions currently available under federal law,
• protect teachers and other school staff from discrimination on the grounds of sex, sexual orientation, gender identity, marital or relationship status, or pregnancy, by removing similar exceptions, and
• allow religious schools to maintain their religious character by permitting them to:
• give preference to prospective staff on religious grounds where the teaching, observance, or practice of religion is a part of their role (and it is not discriminatory on other grounds); and
• require all staff to respect the educational institution’s religious ethos.

The proposals would bring Commonwealth anti-discrimination laws into greater alignment with the majority of Australian states and territories.

The ALRC seeks feedback on its propositions and proposals by 24 February 2023. It will provide its final recommendations to the Attorney-General by 21 April 2023.

Federal anti-discrimination and employment laws, including the Sex Discrimination Act  1984 (Cth) and the Fair Work Act 2009 (Cth), prohibit discrimination in a wide range of settings on grounds including sex, sexual orientation, gender identity, marital or relationship status, and pregnancy. However, these laws currently provide broad exceptions for religious educational institutions, including early childhood education centres, schools, colleges, and universities.  The ALRC’s proposals would remove exceptions relating specifically to students and staff in religious educational institutions, while retaining exceptions relating to participation in religious worship and observance and the training and appointment of religious leaders.

Download Media Release

Anti-Discrimination Laws Inquiry Update

27 January 2023

Consultation Paper Released

Today the Australian Law Reform Commission released a Consultation Paper with proposals for changing the way Commonwealth anti-discrimination law applies to religious schools and other educational institutions.

Stakeholder submissions are now invited.

Submissions close 24 February 2023.

Individual views and experiences

In addition to accepting formal written submissions from organisations and individuals on specific law reform proposals contained in the Consultation Paper, the ALRC has also provided a confidential survey for members of the public to share their views and experiences on some key questions relevant to the Inquiry.

Completion of the confidential survey does not preclude making a formal written submission on the propositions and technical proposals contained in the Consultation Paper – it is possible to do both.

The survey will remain open until 24 February 2023.

Previous Inquiries and Key Reports Considered

Extensive consultations have been undertaken previously on the issues under examination in the inquiry into Religious Educational Institutions and Anti-Discrimination Laws. 

The ALRC is considering submissions and reported findings from previous inquiries, in addition to key reports, published over almost 40 years, from 1984-2022, at Commonwealth, state, and territory levels.

What do you think?

Stakeholder feedback is crucial for developing recommendations for simplification of corporations and financial services legislation.

In this Background Paper, Reflecting on Reforms II – Submissions to Interim Report B, the ALRC provides an overview of the feedback it has received, by way of formal submissions, on questions and proposals outlined in Interim Report B. This feedback will inform the development of proposals in Interim Report C, as well as recommendations for reform made in the ALRC’s Final Report.

Wednesday 15 February 2023 at 5.00pm AEDT

The Corporate Law and Financial Regulation Research Program, in association with the Australian Law Reform Commission, invites you to a webinar on the regulation of crypto assets and Decentralised Autonomous Organisations. The webinar will provide an update on regulatory developments in Australia and overseas, and will explore the direction of future reforms.

Please join the panel for a discussion covering:

• Key concepts and the current ALRC Review of the Legislative Framework for Corporations and Financial Services Regulation;
• Regulation of crypto assets in Australia in the context of global regulatory moves on crypto assets and stablecoins;
• Standards necessary for legal recognition of DAOs and regulatory reform; and
• DAOs and the non-profit sector: expanding the possibilities.

Panel:

• Chair Professor Rosemary Langford, Melbourne Law School
• Dr Andrew Godwin, Special Counsel, Australian Law Reform Commission
• Mr Laurence White, Barrister
• Ms Joni Pirovich, Principal, Blockchain & Digital Assets
• Emeritus Professor Myles McGregor-Lowndes OAM, Queensland University of Technology

This webinar is being delivered live at 5.00pm AEDT on Wednesday 15 February 2023.

All are welcome. The webinar will be recorded.

Financial Services Legislation eNews

25 January 2023

What do you think?

Stakeholder feedback is crucial for developing recommendations for simplification of corporations and financial services legislation.

In this Background Paper, Reflecting on Reforms II – Submissions to Interim Report B, the ALRC provides an overview of the feedback it has received, by way of formal submissions, on questions and proposals outlined in Interim Report B. This feedback will inform the development of proposals in Interim Report C, as well as recommendations for reform made in the ALRC’s Final Report.

You’ve heard of SAOs, but what about DAOs?

WEBINAR Wednesday 15 February 2023 at 5.00pm AEDT

The Corporate Law and Financial Regulation Research Program, in association with the ALRC, are hosting a webinar on the regulation of crypto assets and Decentralised Autonomous Organisations (DAOs) on 15 February 2023.

The webinar will provide an update on regulatory developments in Australia and overseas, and will explore the direction of future reforms. Learn more about the speakers and register via the link below. 

ALRC DataHub – Are you curious?

The ALRC DataHub offers insights into Australia’s statute book and reflects our commitment to identifying, analysing, and understanding complexity in legislation and the law more generally.

Currently the DataHub includes 16 data sets that can be analysed by researchers to generate novel insights into Australian law and legal history. These data sets cover all Commonwealth Acts and regulations ever made, as well as other forms of delegated legislation. The ALRC has published seven case studies to show how the data can be used, including on lawmaking during the COVID-19 pandemic, issues of Law, War, and Peace, and a history of the Australian statute book.

User-friendly legislation: Why we need it, and how to achieve it

In a new article, Dr William Isdale and Nicholas Simoes da Silva share some ideas on how legislation could be made more ‘user-friendly?

“Modern smartphones are some of the most technologically sophisticated pieces of equipment ever invented. And yet, to operate one, you don’t need a PhD in computer science or years of experience. For the most part, their operations are intuitive and their functions easily navigable. If only the same could be said for all modern legislation.”