Section 843C — Corporations Act 2001 (Cth)

(1) If:

(a) one or more rights of an entity cannot be enforced against a body corporate for a period because of subsection 843A(1) or (2); and

(b) the body corporate has a right under an arrangement against the entity for a new advance of money or credit;

that right of the body corporate cannot be enforced during the same period.

(2) Subsection (1) of this section does not apply to a right of a body corporate if:

(a) the body corporate is a related body corporate of the entity mentioned in paragraph (1)(a); and

(b) exercising the right:

(i) constitutes, or constitutes part of, default management; or

(ii) constitutes recovery action; or

(iii) constitutes a funding call on the entity.

Related sections

• s 842A — Circumstances to which moratorium is relevant
• s 843A — Stay on enforcing rights merely because the body corporate is under statutory management or subject to a transfer determination
• s 843B — Exceptions
• s 843D — Self‑executing provisions
• s 843E — When other laws prevail—certain other Commonwealth Acts
• s 843F — Circumstances where a transaction by statutory manager not voidable under section 588FE

Research how courts apply s 843C

BriefBridge searches Australian caselaw by meaning — every answer cited to the paragraph.