THE CORPORATIONS LAW

CHAPTER 5 - EXTERNAL ADMINISTRATION

PART 5.9 - MISCELLANEOUS

Division 3 - Provisions applying to various kinds of external administration

SECTION 600F   LIMITATION ON RIGHT OF SUPPLIERS OF ESSENTIAL SERVICES TO INSIST ON PAYMENT AS CONDITION OF SUPPLY  

600F(1)  [Supply of essential service requested]  

If:

(a)  a relevant authority of an eligible company requests, or authorises someone else to request, a person or authority ( ``the supplier'' ) to supply an essential service to the company in this jurisdiction; and

(b)  the company owes an amount to the supplier in respect of the supply of the essential service before the effective day;

the supplier must not:

(c)  refuse to comply with the request for the reason only that the amount is owing; or

(d)  make it a condition of the supply of the essential service pursuant to the request that the amount is to be paid.

600F(2)  [Definitions]  

In this section:

``effective day'' , in relation to a relevant authority of an eligible company, means the day when the relevant authority became a relevant authority of the company, even if that day began before this section commenced;

``eligible company'' means a company:

(a)  that is being wound up; or

(b)  a provisional liquidator of which is acting; or

(c)  that is under administration; or

(d)  that has executed a deed of company arrangement that has not yet terminated; or

(e)  a receiver, or receiver and manager, of property of which is acting;

``essential service'' means:

(a)  electricity; or

(b)  gas; or

(c)  water; or

(d)  a telecommunications service within the meaning of the Telecommunications Act 1991;

``relevant authority'' , in relation to an eligible company, means:

(a)  the liquidator; or

(b)  the provisional liquidator; or

(c)  the administrator of the company; or

(d)  the administrator of the deed of company arrangement; or

(e)  the receiver, or receiver and manager;

as the case requires.




This information is provided by CCH Australia Limited Link opens in new window. View the disclaimer and notice of copyright.