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COMMONWEALTHAct
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s 62ZB

Act under section 62Z not ground for denial of obligations

In force
Part VBJudicial management, statutory management, other external administration and winding up
Division 1Judicial management of general insurers

62ZB Act under section 62Z not ground for denial of obligations

(1)

This section applies if a body corporate is party to a contract, whether the proper law of the contract is:

(a)

Australian law (including the law of a State or Territory); or

(b)

law of a foreign country (including the law of part of a foreign country).

(2)

None of the matters mentioned in subsection (3) allows the contract, or a party to the contract (other than the body corporate), to do any of the following:

(a)

deny any obligations under the contract;

(b)

accelerate any debt under the contract;

(c)

close out any transaction relating to the contract;

(d)

enforce any security under the contract.

(3)

The matters are as follows:

(a)

a judicial manager doing an act under subsection 62Z(1) relating to the body corporate;

(b)

if the body corporate is a member of a relevant group of bodies corporate—a judicial manager doing an act under subsection 62Z(1) relating to another member of the group.

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