Corporations Regulations 2001
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Hide history noteThis regulation applies on and after the day on which a restructuring plan is made in relation to a company.
5.3B.29(2)
The plan is binding on: (a) subject to subregulations (3) and (4) - a creditor of the company to the extent that the creditor has an admissible debt or claim in relation to the plan; and (b) the company; and (c) the company ' s officers and members; and (d) the restructuring practitioner for the plan.
5.3B.29(3)
If a creditor of the company is a secured creditor, the plan is binding on the creditor: (a) if the value of the creditor ' s security interest is less than the value of the creditor ' s admissible debts or claims - only to the extent of the difference between the values; and (b) if the value of the creditor ' s security interest is equal to or more than the value of the creditor ' s admissible debts or claims - only to the extent that the creditor consents to be bound by the plan.
5.3B.29(4)
The fact that a restructuring plan has been made does not prevent a secured creditor from realising or otherwise dealing with the security interest, unless: (a) the secured creditor accepted the proposal to make the plan and the plan prevents the secured creditor from doing so; or (b) the Court so orders under subregulation 5.3B.64(2) .
5.3B.29(5)
The fact that a restructuring plan has been made does not affect a right that an owner or lessor of property has in relation to that property, unless: (a) the owner or lessor accepted the proposal to make the plan and the plan affects that right; or (b) the Court so orders under subregulation 5.3B.64(4) .
5.3B.29(6)
Subregulation (5) does not apply in relation to an owner or lessor of PPSA retention of title property of the company.
Note: Subregulation (3) applies in relation to an owner or lessor of PPSA retention of title property of the company. Such an owner or lessor is a secured creditor of the company (see section 51F of the Act (meaning of PPSA retention of title property )).
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