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StatuteCorporations Act 2001

Section 95A — Corporations Act 2001: Meaning of solvent and insolvent

Text of the provision Official document

(1) A person is solvent if, and only if, the person is able to pay all the person’s debts, as and when they become due and payable. (2) A person who is not solvent is insolvent. Note: A company is taken to be insolvent if the company proposes a restructuring plan to creditors (see subsection 455A(2)).

Official source: Federal Register of Legislation

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