Document ID: chunk:federal_register_of_legislation:C2004A04501:schedule:3:p21
Version: federal_register_of_legislation:C2004A04501
Segment Type: schedule
Provision Reference: sch 3 (pt 21/110)
Character Range: 206351–209294

return for the company's creditors and members than would result from an immediate winding up of the company.

Interpretation

"435B. In this Part, unless the contrary intention appears:

'receiver' includes a receiver and manager.

When administration begins and ends

  "435C.(1) The administration of a company:

    (a)     begins when an administrator of the company is appointed under section 436A, 436B or 436C; and

    (b)     ends on the happening of whichever event of a kind referred to in subsection (2) or (3) happens first after the administration begins.

"(2) The normal outcome of the administration of a company is that:

    (a)     a deed of company arrangement is executed by both the company and the deed's administrator; or

    (b)     the company's creditors resolve under paragraph 439C(b) that the administration should end; or

     (c) the company's creditors resolve under paragraph 439C(c) that the company be wound up.

"(3) However, the administration of a company may also end because:

     (a)     the Court orders, under section 447A or otherwise, that the administration is to end, for example, because the Court is satisfied that the company is solvent; or

     (b)     the convening period, as fixed by subsection 439A(5), for a meeting of the company's creditors ends:

         (i) without the meeting being convened in accordance with section 439A; and

         (ii) without an application being made for the Court to extend under subsection 439A(6) the convening period for the meeting; or

     (c)     an application for the Court to extend under subsection 439A(6) the convening period for such a meeting is finally determined or otherwise disposed of otherwise than by the Court extending the convening period; or

     (d)     the convening period, as extended under subsection 439A(6), for such a meeting ends without the meeting being convened in accordance with section 439A; or

     (e)     such a meeting convened under section 439A ends (whether or not it was earlier adjourned) without a resolution under section 439C being passed at the meeting; or

     (f) the company contravenes subsection 444B(2) by failing to execute a proposed deed of company arrangement; or

     (g) the Court appoints a provisional liquidator of the company, or orders that the company be wound up.

"(4) During the administration of a company, the company is taken to be under administration.

"Division 2—Appointment of administrator and first meeting of creditors

Company may appoint administrator if board thinks it is or will become insolvent

"436A.(1) A company may, by writing under its common seal, appoint an administrator of the company if the board has resolved to the effect that:

    (a)     in the opinion of the directors voting for the resolution, the company is insolvent, or is likely to become insolvent at some future time; and

  (b)     an administrator of the company should