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Companies Act 1993

Voluntary administration - Variation and termination of deed

239ADF: Creditors' meeting to consider proposed variation or termination of deed

You could also call this:

“Creditors can meet to discuss changing or ending a company's voluntary administration deed”

You have the right to attend a meeting to discuss changes or ending of a deed related to a company’s voluntary administration. The person in charge of the deed, called the deed administrator, can call this meeting at any time. They must call a meeting if creditors who are owed at least 10% of the company’s total debt ask for one in writing.

When the deed administrator arranges a meeting, they need to tell as many of the company’s creditors as they can by writing to them. They also need to put an advertisement about the meeting in the newspaper. They have to do this at least 5 working days before the meeting happens.

When the deed administrator writes to the creditors, they need to explain any plans to change or end the deed that will be talked about at the meeting. The deed administrator will be in charge of the meeting. If needed, the meeting can be stopped and continued at a later time.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM321616.

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Part 15A Voluntary administration
Variation and termination of deed

239ADFCreditors' meeting to consider proposed variation or termination of deed

  1. The deed administrator—

  2. may at any time convene a meeting of the company's creditors to consider a variation to, or the termination of, the deed; and
    1. must convene a meeting if requested to do so in writing by creditors whose claims against the company are not less than 10% in value of the total value of all creditors' claims.

      1. The deed administrator must convene the meeting by—

      2. giving written notice to as many of the company's creditors as reasonably practicable; and
        1. advertising the meeting in accordance with section 3(1)(a).

          1. The administrator must take the steps in subsection (2) not less than 5 working days before the meeting.

          2. The notice given to the creditors must set out any resolution for varying or terminating the deed that is to be considered by the meeting.

          3. The deed administrator must preside at the meeting.

          4. The meeting may be adjourned from time to time.

          Compare
          • Corporations Act 2001 s 445F (Aust)
          Notes
          • Section 239ADF: inserted, on , by section 6 of the Companies Amendment Act 2006 (2006 No 56).
          • Section 239ADF(2)(b): amended, on , by section 58 of the Insolvency Practitioners Regulation (Amendments) Act 2019 (2019 No 28).