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Version status: In force | Document consolidation status: Updated to reflect all known changes
Version date: 27 July 2022 - onwards
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552. Cessation of protection of company and termination of appointment of examiner

(1) Subject to the provisions of that section, the protection granted by virtue of section 520 to a company shall cease -

(a) on the coming into effect of a compromise or scheme of arrangement under this Part in relation to the company; or

(b) on such earlier date as the court may direct.

(1A) Where the court is making an order in accordance with subsection (1)(b), it may take into account:

(a) that the protection granted by virtue of section 520 no longer fulfils the objective of supporting the negotiations on a scheme of arrangement;

(b) where the company or the examiner has requested that the protection granted by virtue of section 520 be ceased;

(c) one or more creditors or one or more classes of creditors are, or would be, unfairly prejudiced by the continuation of the protection granted by virtue of section 520;

(d) that the continuation of the protection granted by virtue of section 520 would likely give rise to the insolvency of a creditor of the company.

(2) Where a company ce

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