Companies Act 2014

F312[Process adviser to give notice to employees, creditors, etc.

558K

558K. (1) This section applies where a process adviser is appointed in respect of an eligible company by virtue of the passing of a resolution referred to in section 558E(2).

(2) The process adviser shall, as soon as practicable and in any event no later than 5 days after the passing of the resolution, give to the persons specified in subsection (3)

(a) a notice in the prescribed form setting out—

(i) the fact of his or her appointment as process adviser and the date of the passing of the resolution in respect of same,

(ii) any payments that the process adviser considers are required to be made in order for the eligible company to continue trading,

(iii) the fact that any liabilities arising after the appointment of the process adviser that are properly incurred by the process adviser under this Part shall be paid in full, and

(iv) the determination made under section 558H(2) as to whether any proceedings shall be brought in the Circuit Court or the High Court, as the case may be,

(b) in a case where the person is a creditor of the eligible company, a notice requiring the person to provide the process adviser with information about the matters set out in subsection (4),

(c) in a case where the person is a party to a contract to which section 558P applies and the process adviser is considering repudiating the contract, a statement of that fact, and

(d) copies of—

(i) the determination made under section 558C and the report prepared under section 558D, and

(ii) such other documents as may be prescribed.

(3) The persons referred to in subsection (2) are—

(a) employees of the eligible company,

(b) creditors of the eligible company,

(c) the Revenue Commissioners, and

(d) such other persons as may be prescribed.

(4) The matters referred to in subsection (2)(b) are—

(a) the nature of the person’s claim,

(b) the nature of any evidence supporting the claim,

(c) any credit terms offered by the person to the eligible company,

(d) any security held by the person over any assets of the eligible company,

(e) any related party transactions with the eligible company,

(f) any other matter that the person considers to be relevant for the purposes of the preparation of a rescue plan in accordance with section 558Q, and

(g) such other matters as may be prescribed.

(5) The process adviser shall keep records and supporting evidence of the means by which notice is given under this section.

(6) A process adviser who fails to comply with any requirement imposed by this section shall be guilty of a category 3 offence.

(7) In this section, "related party transaction" means a transaction between an eligible company and its related party.]

Annotations:

Amendments:

F312

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.

Editorial Notes:

E88

Power pursuant to subs. (2)(a) exercised (8.12.2021) by Companies Act 2014 (Prescribed Form and Notice) Regulations 2021 (S.I. No. 675 of 2021, in effect as per reg. 1(2).