In the matter of RCR Tomlinson Ltd (administrators appointed) & Ors [2018] NSWSC 1859

Supreme Court New South Wales

Medium Neutral Citation: In the matter of RCR Tomlinson Ltd (administrators appointed) & Ors [2018] NSWSC 1859 Hearing dates: 23 November 2018 Date of orders: 23 November 2018 Decision date: 23 November 2018 Jurisdiction: Equity - Corporations List Before: Black J Decision: Direction given under s 90-15 of the Insolvency Practice Schedule (Corporations) that the Administrators would be justified in procuring the relevant Companies to borrow loan funds pursuant to a facility agreement. Order made under s 447A of the Corporations Act 2001 (Cth) altering the operation of s 443D of the Act to permit the Administrators' liability to be limited in respect of the borrowings. Catchwords: CORPORATIONS – voluntary administration – application by administrators for directions under s 90-15 of the Insolvency Practice Schedule (Corporations) – whether administrators would be justified in procuring companies to borrow loan funds pursuant to a facility agreement – application under s 447A of the Corporations Act 2001 (Cth) for limitation of administrators' personal liability in respect of relevant borrowings – whether it is in the interests of the companies that the borrowing take place. Legislation Cited: - Corporations Act 2001 (Cth) ss 447A, 443D - Insolvency Practice Schedule (Corporations) s 90-15 Cases Cited: - Mentha, in the matter of Griffin Coal Mining Company Pty Ltd (admins apptd) [2010] FCA 1469; (2010) 82 ACSR 142 - Re Nexus Energy Ltd [2014] NSWSC 1041 - Re Ten Network Holdings Ltd (admins apptd) (recs and mgrs apptd) [2017] FCA 1144 Category: Principal judgment Parties: Jason Preston, William James Harris, Robert Conry Brauer and Matthew Wayne Caddy in their capacity as joint and several administrators of RCR Tomlinson Ltd (administrators appointed) (and the companies listed in Schedule 1) (Plaintiffs) Representation: Counsel: M A Izzo SC/M L Rose (Plaintiffs)