Corporations Act 2001

A transaction of a company is an uncommercial transaction of the company if, and only if, it may be expected that a reasonable person in the company’s circumstances would not have entered into the transaction, having regard to:

the benefits (if any) to the company of entering into the transaction; and

the detriment to the company of entering into the transaction; and

the respective benefits to other parties to the transaction of entering into it; and

any other relevant matter.

A transaction may be an uncommercial transaction of a company because of subsection (1):

whether or not a creditor of the company is a party to the transaction; and

even if the transaction is given effect to, or is required to be given effect to, because of an order of an Australian court or a direction by an agency.