Section 239ADD — Companies Act 1993: Termination by Court

239ADD Termination by Court (1) The Court may terminate a deed of company arrangement on the application of— (a) the company; or (b) a creditor; or (c) the deed administrator; or (d) any other interested person. (2) The Court may terminate a deed of company arrangement if it is satisfied that— (a) an information breach has occurred; or (b) there has been a material contravention of the deed by a person bound by it; or (c) effect cannot be given to the deed without injustice or undue delay; or (d) the deed or a provision of it is, an act or omission done or made under the deed was, or an act or omission proposed to be done or made under the deed would be,— (i) oppressive or unfairly prejudicial to, or unfairly discriminatory against, 1 or more of the creditors; or (ii) contrary to the interests of the company as a whole; or (e) the deed should be terminated for some other reason. (3) The Court must not terminate the deed without first taking into account the rights of third parties. (4) In this section, an information breach has occurred if— (a) false or misleading information about the company's business, property, affairs, or financial circumstances— (i) was given to the administrator or the creditors; or (ii) was contained in a report or statement under section 239AU(3) that accompanied a notice of the watershed meeting at which a resolution that the company execute a deed of company arrangement was passed; or (b) there was an omission from the report or statement referred to in paragraph (a)(ii); and (c) the information or the omission, as the case may be, can reasonably have been expected to be material to the creditors in deciding whether to vote in favour of the resolution that the company execute the deed of company arrangement. Compare: Corporations Act 2001 (Australia) s 445D Section 239ADD: inserted, on 1 November 2007, by section 6 of the Companies Amendment Act 2006 (2006 No 56).