Moratorium—effect of judicial management on supply of essential services
62PD Moratorium—effect of judicial management on supply of essential services
If:
a general insurer is under judicial management; and
the judicial manager requests, or authorises someone else to request, a person or authority (the supplier) to supply an essential service to the general insurer in Australia; and
the general insurer owes an amount to the supplier in respect of the supply of the essential service before the day on which the judicial manager took control of the general insurer’s business;
the supplier must not:
refuse to comply with the request for the reason only that the amount is owing; or
make it a condition of the supply of the essential service pursuant to the request that the amount is to be paid.
The Federal Court may grant an injunction under section 129D in respect of a contravention of this subsection.
In this section:
essential service has the same meaning as in the Corporations Act 2001.
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