Document ID: chunk:federal_register_of_legislation:C2004A04501:schedule:3:p77
Version: federal_register_of_legislation:C2004A04501
Segment Type: schedule
Provision Reference: sch 3 (pt 77/110)
Character Range: 347483–350306

within 2 months after the end of a period of official management of the company—an official manager appointed for the purposes of the official management;

        (c)     in any case—an administrator of the company, even if the administration ended before the winding up began;

        (d)     in any case—an administrator of a deed of company arrangement executed by the company, even if the deed terminated before the winding up began;

     'spouse' includes a de facto spouse;

     'superannuation contribution', in relation to a company, means a contribution by the company to a fund for the purposes of making provision for, or obtaining, superannuation benefits for an employee of the company, or for dependants of such an employee.".

Repeal of section 557

  97. Section 557 of the Corporations Law is repealed.

Debts of a class to rank equally

98. Section 559 of the Corporations Law is amended by omitting all the words from and including "After" to and including "subsection 556(1)" and substituting "The debts of a class referred to in each of the paragraphs of subsection 556(1)".

Advances for company to make priority payments in respect of employees

99. Section 560 of the Corporations Law is amended by inserting "or of superannuation contributions (within the meaning of section 556)" after "wages".

Application of proceeds of contracts of insurance

100.    Section 562 of the Corporations Law is amended by inserting in subsection (1) "(not being a contract of reinsurance)" after "insurance".

101.    After section 562 of the Corporations Law the following section is inserted:

Application of proceeds of contracts of reinsurance

  "562A.(1) This section applies where:

     (a)     a company is insured, under a contract of reinsurance entered into before the relevant date, against liability to pay amounts in respect of a relevant contract of insurance or relevant contracts of insurance; and

     (b)     an amount in respect of that liability has been or is received by the company or the liquidator under the contract of reinsurance.

"(2) Subject to subsection (4), if the amount received, after deducting expenses of or incidental to getting in that amount, equals or exceeds the total of all the amounts that are payable by the company under relevant contracts of insurance, the liquidator must, out of the amount received and in priority to all payments in respect of the debts mentioned in section 556, pay the amounts that are so payable under those contracts of insurance.

"(3) Subject to subsection (4), if subsection (2) does not apply, the liquidator must, out of the amount received and in priority to all payments in respect of the debts mentioned in section 556, pay to each person to whom an amount is payable by the company under a relevant contract of insurance an