Corporations Act 2001

CHAPTER 5 - EXTERNAL ADMINISTRATION  

PART 5.3B - RESTRUCTURING OF A COMPANY  

Note: This Part does not apply to a CCIV or a sub-fund of a CCIV: see Division 4 of Part 8B.6 .

Division 2 - Restructuring  

Subdivision F - Rights of secured party, owner or lessor during restructuring  

SECTION 454M   COURT MAY LIMIT POWERS OF RECEIVER ETC. IN RELATION TO PROPERTY USED BY COMPANY  

454M(1)    
This section applies if:

(a)    for the purpose of enforcing a right of the owner or lessor of property used or occupied by, or in the possession of, a company to take possession of the property or otherwise recover it, a person:

(i) enters into possession, or assumes control, of the property; or

(ii) exercises any other power in relation to the property; and

(b)    the company is under restructuring when the person does so, or the company later begins to be under restructuring.

454M(2)    
On application by the restructuring practitioner, the Court may order the person not to perform specified functions, or exercise specified powers, in relation to the property, except as permitted by the order.

454M(3)    
The Court may only make an order if satisfied that the interests of the owner or lessor will be adequately protected during the restructuring of the company.

454M(4)    
An order may only be made, and only has effect, during the restructuring.

454M(5)    
An order has effect despite sections 454K and 454L .