Watson v Uniframes Ltd

[1994] FCA 1085

ALLAN JOHN WATSON v. UNIFRAMES LTD and TIMOTHY TRUMBULL
No. G3011 of 1994
FED No. 1085/94
Number of pages - 6
Corporations
(1994) 13 ACLC 609

(1994) 55 FCR 556

COURT

IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY
GENERAL DIVISION
DAVIES J

CATCHWORDS

Corporations - period for convening meetings of creditors - meaning of "beginning on that day" - whether date of administration to be counted as a day - whether failure to give notice within period may be rectified.

Corporations Law - ss. 439A, 1322

HEARING

SYDNEY, 25 January 1994
#DATE 27:1:1994
#ADD 23:5:1995

Counsel for the applicant: Mr Thomas F. Bathurst QC

with Mr Howard Insall

Solicitors for the applicant: Sly and Weigall

Counsel for the respondent: Mr D.E.J. Ryan

with Mr P.R. Whitford

Solicitors for the respondent: Gye Perkes and Stone

ORDER

THE COURT ANSWERS THE QUESTIONS AS FOLLOWS:

Question 1. Was the meeting convened by the Applicant on 14 January 1994 convened within the convening period in accordance with Section 439A of the Law? Answer: "No."

Question 2. If the answer to question 1 is no, did the administration end on 13 January 1994 pursuant to the provisions of Section 435C(1)(b) and Section 435C(3)(b)? Answer: "Each administration ended at the conclusion of 13 January 1994".

Question 3. If the answer to question 2 above is yes, in circumstances here the Applicant convened the meeting on 14 January 1994 in the mistaken belief that the convening period had not ended, does the Court have power under Section 1322 of the Law to make an order extending the time for convening the meeting? Answer: "No."

Question 4. If the answer to question 3 is yes, is the Applicant a "person interested" within the meaning of Section 1322(4) of the Law?"

Answer: "Unnecessary to answer."

NOTE: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.

JUDGE1

DAVIES J On 17 December 1993, Mr A.J. Watson, a chartered accountant and registered liquidator, was appointed administrator of Uniframes Holdings Pty Limited and of Uniframes Australia Pty Limited following resolutions of the respective boards of the companies pursuant to s.436A(1) of the Corporations Law ("the Law"). On 24 December 1993, meetings of the creditors of each of the companies confirmed these appointments. On 14 January 1994, Mr Watson caused to be forwarded to the creditors of the two companies notices convening meetings of the creditors of those companies for the purposes of s.439A of the Law and he caused advertisements for the purposes of s.439A(3)(b) of the Law to be placed in the Australian newspaper of that day. The meetings were called for 21 January 1994 but were not then concluded because of the issue now being considered. The meetings have been adjourned to Friday next, 29 January.

1. On 19 January 1994, Messrs Gye Perkes and Stone, solicitors acting on behalf of Uniframes Limited, a shareholder of Uniframes Holdings Pty Limited, and on behalf of Mr Timothy Trumbull, a director of…