Corporations Act 2001

This section applies if:

the directors of a proprietary company fail to appoint an auditor under subsection 325(2); or

a public company fails to appoint an auditor under subsection 327D(2) or (3).

The company must give ASIC written notice of the auditor replacement failure within the period of 7 days commencing on the day of the auditor replacement failure (the notification period).

If the company gives ASIC the notice required by subsection (2), ASIC must appoint an auditor of the company as soon as practicable after receiving the notice. This subsection has effect subject to section 327G.

If the company does not give ASIC the notice required by subsection (2), ASIC may appoint an auditor of the company at any time:

after the end of the notification period; and

before ASIC receives notice of the auditor replacement failure from the company.

If the company:

does not give ASIC the notice required by subsection (2); and

gives ASIC notice of the auditor replacement failure after the end of the notification period;

Subject to this Part, an auditor appointed under this section holds office until:

for a proprietary company—the company’s next general meeting; or

for a public company—the company’s next AGM.