Within 25 days unless court extends period deed of

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within 25 days unless court extends period) Deed of Company arrangement – May be entered into after voluntary administration has ended. S439C: Final meeting of creditors may resolve that the company execute a deed of company arrangement, or that the administration end, or that the company be wound up S445D: Decision is by a simple majority; however, where decision is for a deed of company arrangement any creditor, the company or ASIC may apply to the court to have the deed set aside S444A(4): In the deed the creditors agree not to pursue their rights, and in exchange the company agrees to changes in its operations; for things the deed must address S444A(2): Where the decision is for a deed of company arrangement the administrator of the company will become administrator of the deed unless another person is appointed S447A: Court has a general power to “make such order as it thinks appropriate about how this Part is to operate in relation to a particular company” F. Scheme of arrangement – This is commenced by the debtor company formulating a debt reorganisation with its creditors Antedates voluntary administration, also time limits less demanding, but mandatory court approval (at two points) S411: Company formulates scheme; after scheme formulated, court approval must be sought to hold a meeting (of creditors) S411(4)(a): Scheme must be approved by more than 50% (of creditors) in number and at least 75% (of creditors) by value; voting may be in person or by proxy Scheme must then be approved by court: s411(4)(b); “commercial morality” is the test, including a real prospect of return to solvency, and no oppression Scheme administrator must be a registered liquidator; also is an “officer”: s9; relevant duties under Corporations Act apply
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