SCHEDULES

SCHEDULE 9Abolition of requirements to hold meetings; opted-out creditors

PART 1Company insolvency

Company voluntary arrangements

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1

Section 4 (decisions of meetings) is amended as follows.

2

For subsection (1) substitute—

1

This section applies where, under section 3—

a

a meeting of the company is summoned to consider the proposed voluntary arrangement, and

b

the company's creditors are asked to decide whether to approve the proposed voluntary arrangement.

1A

The company and its creditors may approve the proposed voluntary arrangement with or without modifications.

3

In subsection (3) for “A meeting so summoned shall not” substitute “ Neither the company nor its creditors may ”.

4

In subsection (4)—

a

for “a meeting so summoned shall not” substitute “ neither the company nor its creditors may ”;

b

omit “the meeting may approve”;

c

after “such a proposal or modification” insert “ may be approved ”.

5

In subsection (5) for “each of the meetings” substitute “ the meeting of the company and the qualifying decision procedure ”.

6

In subsection (6) for “either” substitute “ the company ”.

7

After subsection (6) insert—

6A

After the company's creditors have decided whether to approve the proposed voluntary arrangement the person who sought the decision must—

a

report the creditors' decision to the court, and

b

immediately after reporting to the court, give notice of the creditors' decision to such persons as may be prescribed.

8

In the heading, for “meetings” substitute “ the company and its creditors ”.