External administration Clause Samples
The 'External administration' clause defines the procedures and consequences that apply if a party to the contract enters into external administration, such as liquidation, receivership, or voluntary administration. Typically, this clause outlines the rights of the other party, which may include suspending performance, terminating the agreement, or seeking remedies if the counterparty becomes insolvent or is placed under the control of an external administrator. Its core practical function is to protect parties from the risks associated with insolvency, ensuring that they are not unfairly bound to a contract with a party that may no longer be able to fulfill its obligations.
External administration. Without limiting any other provisions of this Agreement, the Provider must provide the Department, immediately upon receipt or generation by the Provider, a copy of: any notice requiring the Provider to show cause why the Provider should not come under any form of external administration referred to in clause 54.1(b); any record of a decision of the Provider, notice or orders that the Provider has, or will, come under one of the forms of external administration referred to in: Chapter 5 of the Corporations Act 2001 (Cth); the equivalent provisions in the incorporated associations legislation of the Australian states and territories; or Chapter 11 of the Corporations (Aboriginal and ▇▇▇▇▇▇ ▇▇▇▇▇▇ Islander) Act 2006 (Cth); any statutory demand within the meaning of sections 459E and 459F of the Corporations Act 2001 (Cth); any proceedings initiated with a view to obtaining an order for the Provider’s winding up; any decisions and orders of any court or tribunal made against the Provider, or involving the Provider, including an order for the Provider’s winding up; any notice that a shareholder, member or Director is convening a meeting for the purpose of considering or passing any resolution for the Provider’s winding up; and being an individual, any notice that the Provider has become bankrupt or has entered into a scheme of arrangement with his or her creditors. The Provider must, immediately upon the event happening, give Notice to the Department that the Provider: has decided to place itself, or has otherwise come under, any one of the forms of external administration, referred to in clause 54.1(b); or is ceasing to carry on business.
External administration. You must provide to Us, immediately upon receipt or generation by You, a copy of: any notice requiring You to show cause why You should not come into any form of external administration referred to in clause 56.4(b); any record of a decision by You, notice or orders that You have, or will, come under one of the forms of external administration referred to in: Chapter 5 of the Corporations Act 2001 (Cth); the equivalent provisions in the incorporated associations legislation of the Australian states and territories; or Chapter 11 of the Corporations (Aboriginal and ▇▇▇▇▇▇ ▇▇▇▇▇▇ Islander) Act 2006 (Cth); any statutory demand within the meaning of sections 459E and 459F of the Corporations Act 2001 (Cth); any proceedings initiated with a view to obtaining an order for Your winding up; any decisions and orders of any court or tribunal made against You, or involving You, including an order for Your winding up; any notice that a shareholder, member or Director is convening a meeting for the purpose of considering or passing any resolution for Your winding up; and being an individual, any notice that You have become bankrupt or have entered into a scheme of arrangement with Your creditors. You must, immediately upon the event happening, give Notice to Us that You: have decided to place Yourself, or have otherwise come under, any one of the forms of external administration, referred to in clause 56.4(b); are ceasing to carry on business; or are no longer willing or able to provide the Services in accordance with this Agreement. Corporate governance Unless otherwise agreed by Us in writing at Our absolute discretion, You must not employ, engage or elect any person who would have a role in Your management, financial administration or, if Notified by Us, the conduct of the Services, if: the person is an undischarged bankrupt; there is in operation a composition, deed of arrangement or deed of assignment with the person’s creditors under the law relating to bankruptcy; the person has suffered final judgment for a debt and the judgment has not been satisfied; subject to Part VIIC of the Crimes Act 1914 (Cth), the person has been convicted of an offence within the meaning of paragraph 85ZM (1) of that Act unless: that conviction is regarded as spent under paragraph 85ZM (2) (taking into consideration the application of Division 4 of Part VIIC); the person was granted a free and absolute pardon because the person was wrongly convicted of the offence; or the person’s con...
External administration. 48.1 Without limiting any other provisions of this Agreement, the Provider must provide the Department, immediately upon receipt or generation by the Provider, a copy of:
(a) any notice requiring the Provider to show cause why the Provider should not come under any form of external administration referred to in clause 48.1(b);
(b) any record of a decision of the Provider, notice or orders that the Provider has, or will, come under one of the forms of external administration referred to in:
(i) Chapter 5 of the Corporations Act 2001 (Cth);
(ii) the equivalent provisions in the incorporated associations legislation of the Australian states and territories; or
(iii) Chapter 11 of the Corporations (Aboriginal and ▇▇▇▇▇▇ ▇▇▇▇▇▇ Islander) Act 2006 (Cth);
(c) any statutory demand within the meaning of sections 459E and 459F of the Corporations Act 2001 (Cth);
(d) any proceedings initiated with a view to obtaining an order for the Provider’s winding up;
(e) any decisions and orders of any court or tribunal made against the Provider, or involving the Provider, including an order for the Provider’s winding up;
(f) any notice that a shareholder, member or Director is convening a meeting for the purpose of considering or passing any resolution for the Provider’s winding up; or
(g) being an individual, any notice that the Provider has become bankrupt or has entered into a scheme of arrangement with his or her creditors.
48.2 The Provider must, immediately upon the event happening, give Notice to the Department that the Provider:
(a) has decided to place itself, or has otherwise come under, any one of the forms of external administration, referred to in clause 48.1(b); or
(b) is ceasing to carry on business.