Companies Act 2014

F326[Considera-tion by members and creditors of rescue plan

558Y

558Y. (1) This section applies to a meeting of members or creditors or any class of members or creditors called to consider a rescue plan for an eligible company in respect of which a process adviser has been appointed.

(2) Save where expressly provided otherwise in this section, this section shall not authorise, at such meeting, anything to be done in relation to such rescue plan by any member or creditor.

(3) At a meeting to which this section applies a modification of the rescue plan may be put to the meeting but may be accepted only with the consent of the process adviser.

(4) A rescue plan shall be deemed to have been accepted by a meeting of members or creditors or of a class of members or creditors when 60 per cent in number representing a majority in value of the claims represented at that meeting have voted, either in person or by proxy, in favour of the resolution for the rescue plan.

(5) Subject to section 558Z, a rescue plan shall be binding on—

(a) all the members or class or classes of members, as the case may be, affected by the rescue plan,

(b) all the creditors or the class or classes of creditors, as the case may be, affected by the rescue plan,

(c) the eligible company concerned, and

(d) the directors of the eligible company,

where eligible it is accepted by at least one class of creditors whose interests or claims would be impaired by implementation of the rescue plan and 21 days pass from the date of filing of the notice of approval with the office of the relevant court under section 558Z(6), and no objection is filed in accordance with section 558ZC.

(6) Nothing in subsection (4) shall, in the case of a member or creditor who abstains from voting, or otherwise fails to cast a vote, in respect of the rescue plan, be read as permitting such an abstention or failure to be regarded as a casting by that person of a vote against the rescue plan.

(7) Where a State authority is a creditor of the eligible company, such authority shall be entitled to accept a rescue plan under this section notwithstanding—

(a) that any claim of such authority as a creditor would be impaired under the rescue plan, or

(b) any other enactment.

(8) In subsection (7) "State authority" means the State, a Minister of the Government, a local authority or the Revenue Commissioners.

(9) Section 192 shall apply to any resolution to which subsection (4) relates which is passed at any adjourned meeting.]

Annotations:

Amendments:

F326

Inserted (7.12.2021) by Companies (Rescue Process for Small and Micro Companies) Act 2021 (30/2021), s. 3, S.I. No. 673 of 2021.