• Section 4: Section 4: Appointment by Company or Directors

    • Article 23 - Appointment of Administrator by a Company or its Directors

      (1) A Company, by Ordinary Resolution, may appoint an Administrator.
      (2) The directors of a Company may appoint an Administrator.
      (3) However, an Administrator may not be appointed under (1) or (2) if:
      (A) a petition for the winding up of the Company has been presented and is not yet disposed of; or
      (B) an application for an Administration Order has been made and is not yet disposed of.

    • Article 24 - Notice of intention to appoint

      (1) A person who proposes to make an appointment under Article 23 shall give at least two Business Days' written notice to any person who is a Secured Creditor and may be entitled to appoint an Administrator of the Company under Article 20.
      (2) A copy of the notice of intention to appoint an Administrator for the purposes of Article 23 must also be given to the Company if the directors are making the appointment.
      (3) A person who gives notice of intention to appoint an Administrator under Article 24(1) shall file with the QFC Court as soon as is reasonably practicable copies of the notice and the declaration referred to in Article 24(6).
      (4) The QFC Court may, at any time from the filing of a notice of intention to appoint under Article 24(3), and with a view to the preservation of the Company's business and assets, appoint an Administrator provisionally and upon such terms as the QFC Court sees fit. The powers of such an Administrator may be limited by the order appointing him.
      (5) The remuneration and any expenses properly incurred by a provisional Administrator shall be a first charge on and paid out of any property arising from the exercise of his functions as provisional Administrator and which is in his custody or under his control at that time.
      (6) The person proposing to appoint an Administrator shall make a declaration:
      (A) that the Company is or is likely to become unable to pay its debts; and
      (B) that the Company is not in Liquidation.
      (7) The declaration shall be made not more than five Business Days before the notice is filed with the QFC Court.
      (8) The notice of intention to appoint shall be accompanied by either a copy of the resolution of the Company to appoint an Administrator (where the Company intends to make the appointment) or a record of the decision of the directors (where the directors intend to make the appointment).

    • Article 25 - Notice of appointment

      (1) At least three copies of the notice of appointment shall be filed with the QFC Court and shall have applied to them the seal of the Tribunal and be endorsed with the date and time of filing.
      (2) The notice of appointment must state the name and address for services of the Administrator and must be accompanied by a statement by the Administrator:
      (A) that he consents to the appointment; and
      (B) that in his opinion one or more of the purposes of administration referred to in Article 7 is likely to be achieved.
      (3) For the purpose of a statement under Article 25(2) an Administrator may rely on information supplied by directors of the Company (unless he has reason to doubt its accuracy).
      (4) The QFC Court shall issue two of the sealed copies of the notice of appointment to the person making the appointment who shall as soon as reasonably practicable send one of the sealed copies to the Administrator.