Eligibility criteria for restructuring
(1) The eligibility criteria for restructuring are met in relation to a company if, on the day on which a restructuring practitioner for the company is appointed: (a) in a case where the regulations prescribe a test for eligibility based on the liabilities of the company—that test is satisfied; and (b) no person who: (i) is a director of the company; or (ii) has been a director of the company within the 12 months immediately preceding that day; has been a director of another company that has been under restructuring or been the subject of a simplified liquidation process within a period prescribed by the regulations, unless exempt under regulations made for the purposes of subsection (2); and (c) the company has not been under restructuring or been the subject of a simplified liquidation process within a period prescribed by the regulations, unless exempt under regulations made for the purposes of subsection (2). (2) The regulations may prescribe: (a) tests for eligibility based on the liabilities of companies for the purposes of paragraph (1)(a); and (b) circumstances in which the directors of companies are exempt from the requirement in paragraph (1)(b); and (c) circumstances in which companies are exempt from the requirement in paragraph (1)(c).
Sourced from the Federal Register of Legislation at 17 May 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au. Verify the current text against the official source before relying on it.
BriefBridge searches Australian caselaw by meaning — every answer cited to the paragraph.
Try BriefBridge free