Plain language law

New Zealand law explained for everyone

Companies Act 1993

Voluntary administration - Appointment of administrator

239O: Remuneration of administrator

You could also call this:

“How administrators get paid for their work and how their pay can be reviewed”

If you’re an administrator for a company, you can charge a fair amount of money for the work you do and the responsibilities you have. This is called your remuneration.

If someone thinks your pay isn’t fair, they can ask the court to check it. The court can then decide if your pay is reasonable or set a new amount that they think is fair.

The people who can ask the court to look at your pay are:

  • You, the administrator
  • A director or officer of the company
  • Someone the company owes money to (a creditor)
  • Someone who owns part of the company (a shareholder)

If a creditor or shareholder wants to ask the court about your pay, they need to get permission from the court first.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM321508.

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239N: Appointment of 2 or more administrators, or

“How multiple administrators can be appointed and work together”

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239P: When office of administrator is vacant, or

“When an administrator's job becomes vacant”

Part 15A Voluntary administration
Appointment of administrator

239ORemuneration of administrator

  1. The administrator is entitled to charge reasonable remuneration for carrying out his or her duties and exercising his or her powers as administrator.

  2. The court may, on the application of the administrator, a director or officer of the company, a creditor, or a shareholder, review or fix the administrator's remuneration at a level that is reasonable in the circumstances.

  3. A creditor or shareholder may make an application under subsection (2) only with the leave of the court.

Compare
    Notes
    • Section 239O: inserted, on , by section 6 of the Companies Amendment Act 2006 (2006 No 56).