The statutory order of priority in s 556 of the Corporations Act does not apply to the distribution of trust assets held by a corporate trustee in liquidation; trust creditors subrogated to the trustee's equitable lien rank pari passu. The extended definition of 'employee' in s 12(3) of the SGAA does not expand the meaning of 'employee' in s 556 of the Corporations Act, so superannuation guarantee charge payable in respect of deemed employees under the SGAA is not entitled to priority under s 556(1)(e)(i). In small liquidations, ad valorem remuneration is preferred to time-based costing, and proportionality is a key consideration.
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