THE CORPORATIONS LAW

CHAPTER 5 - EXTERNAL ADMINISTRATION

PART 5.3A - ADMINISTRATION OF A COMPANY'S AFFAIRS WITH A VIEW TO EXECUTING A DEED OF COMPANY ARRANGEMENT

Division 1 - Preliminary

SECTION 435C   WHEN ADMINISTRATION BEGINS AND ENDS  

435C(1)  [When administration begins and ends]  

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.

435C(2)  [Normal outcome of administration]  

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.

435C(3)  [Other ways administration may end]  

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.

435C(4)  [When company taken to be under administration]  

During the administration of a company, the company is taken to be under administration.