Legal Insights
Can an administrator ‘re-do’ a second meeting of creditors?
By
• 15 December 2022
• 1 min read
In the matter of Mediacloud Pty Ltd (Administrators Appointed) [2021] NSWSC 357 the New South Wales Supreme Court demonstrated its wide discretionary power. The decision extended the period of administration of a company to avoid it being automatically wound up for failing to execute a deed of company arrangement within the required time. This, in effect, permitted the administrators to ‘re-do’ a second meeting of creditors, enabling the creditors to decide the company’s future again.
The decision serves as a useful reminder that the court has sufficiently broad discretionary powers under s 447A of the Corporations Act 2001 (Cth) (Act) and s 90-15 of the Insolvency Practice Schedule (Corporations) to make orders as to how Part 5.3A of the Act is to operate during a period of voluntary administration. This is provided any such orders are consistent with the objects set out in s 435A of the Act.
Read more articles from The Annual Return: 2022 in Review
By
Keep up to date with our legal insights and events
Sign upRecent articles
Legal Insights
Australia’s new mandatory merger regime is taking shape
By
The new merger notification regime will become mandatory on 1 January 2026.
Legal Insights
No basis for Holden dealers to re-write bargain post-Australian exit
By
The Supreme Court of Victoria has dismissed a claim brought against General Motors Holden Australia NSC Pty Ltd.
Legal Insights
Major Foreign Investment Review Board guidance notes updates - what you need to know
By
There are stricter rules for foreign persons wanting to purchase residential property in Australia.
Legal Insights
A step by step guide to the new Franchising Code of Conduct
By
The New Code comes into effect on 1 April 2025.
Partner
Melbourne