THE CORPORATIONS LAW

CHAPTER 2F - MEMBERS' RIGHTS AND REMEDIES

PART 2F.1A - PROCEEDINGS ON BEHALF OF A COMPANY BY MEMBERS AND OTHERS

SECTION 238   SUBSTITUTION OF ANOTHER PERSON FOR THE PERSON GRANTED LEAVE  

238(1)  [Application to be a substitute]  

Any of the following persons may apply to the Court for an order that they be substituted for a person to whom leave has been granted under section 237:

(a)  a member, former member, or a person entitled to be registered as a member, of the company or of a related body corporate

(b)  an officer, or former officer, of the company.

238(2)  [Power of Court]  

The Court may make the order if it is satisfied that:

(a)  the applicant is acting in good faith; and

(b)  it is appropriate to make the order in all the circumstances.

238(3)  [Effects of order]  

An order substituting one person for another has the effect that:

(a)  the grant of leave is taken to have been made in favour of the substituted person; and

(b)  if the other person has already brought the proceedings or intervened - the substituted person is taken to have brought those proceedings or to have made that intervention.