Comparison View

Formal Consolidation |  Amended Act 29 of 2020
Moratorium
37A.—(1)  Where A has made and served an application in accordance with section 37(1) and (2), then despite any law or anything in the affected contract, another party to the affected contract may not take any action described in subsection (2) in relation to the prescribed obligation or prescribed right under the contract, or the prescribed term in the contract, that is the subject of the application, during the moratorium period described in subsection (3).
(2)  The actions mentioned in subsection (1) are —
(a)the commencement or continuation of an action in a court against A or A’s guarantor or surety;
(b)the commencement or continuation of arbitral proceedings under the Arbitration Act against A or A’s guarantor or surety;
(c)the making or continuation of an adjudication application under section 13(1) of SOPA for a claim against A;
(d)the enforcement of any security over any immovable property;
(e)the enforcement of any security over any movable property used for the purpose of a trade, business or profession;
(f)the making of an application under section 210(1) of the Companies Act (Cap. 50) for a meeting of creditors to be summoned to approve a compromise or an arrangement in relation to A or A’s guarantor or surety;
(g)the making of an application for a judicial management order in relation to A or A’s guarantor or surety;
(h)the making of an application for the winding up of A or A’s guarantor or surety;
(i)the making of a bankruptcy application against A or A’s guarantor or surety;
(j)the appointment of a receiver or manager over any property or undertaking of A or A’s guarantor or surety;
(k)the commencement or levying of execution, distress or other legal process against any property of A or A’s guarantor or surety, except with the leave of the court and subject to such terms as the court imposes;
(l)the repossession of any goods under any chattels leasing agreement, being goods used for the purpose of a trade, business or profession; and
(m)such other action as may be prescribed.
(3)  The moratorium period mentioned in subsection (1) starts on the date of service by A of the application in accordance with section 37(2) and ends on the earliest of the following:
(a)the withdrawal by A of A’s application;
(b)the rejection of the application by the Registrar under section 37(2B);
(c)the date a determination is made under section 38(1)(a) that the case is not one to which this Part applies;
(d)the date any determination is made under section 38(1)(b).
(4)  Sections 5(5), (7), (9), (10) and (11) and 8, and the regulations under section 5(12), apply with the necessary modifications in relation to an action mentioned in subsection (2) as they apply in relation to an action mentioned in section 5(3), and for this purpose —
(a)a reference to the subject inability is to the prescribed obligation or prescribed right under the affected contract, or the prescribed term in the affected contract, that is the subject of the application;
(b)a reference to the period mentioned in section 5(7) is to the moratorium period;
(c)a reference to section 5(2) is to subsection (1);
(d)a reference to regulations made under section 19 is to regulations made under section 39; and
(e)a reference in section 5(7) to a period of limitation prescribed by any law is, in the case of an action mentioned in subsection (2)(c), to the period under section 13(3)(a) of SOPA within which an adjudication application must be made.
(5)  Where an adjudication application under section 13(1) of SOPA is made or continued in breach of subsection (1), then either of the following (as applicable) applies:
(a)the authorised nominating body (as defined in section 2 of SOPA) must not take any further action on the adjudication application;
(b)the adjudicator (as defined in section 2 of SOPA) must terminate the adjudication proceedings.
(6)  Any of the following, namely:
(a)proceedings against A or A’s guarantor or surety before a court;
(b)arbitral proceedings against A or A’s guarantor or surety under the Arbitration Act;
(c)an adjudication application against A under section 13(1) of SOPA;
(d)such other proceedings as may be prescribed,
in relation to the prescribed obligation or prescribed right under the affected contract, or the prescribed term in the affected contract, that is the subject of the application under section 37(1), that are pending at the start of the moratorium period, must be stayed on the lodgment by A of a copy of the application with the court, arbitral tribunal, authorised nominating body or adjudicator as defined in SOPA, or other person or body before which the proceedings are brought, until the end of the moratorium period.
(7)  Any period prescribed in SOPA for the carrying out of an act in relation to an adjudication application under section 13(1) of SOPA that is pending at the start of the moratorium period, is extended by a period equal to the moratorium period.
[Act 30 of 2020 wef 30/09/2020]
Informal Consolidation | Amended Act 30 of 2020
Moratorium
37A.—(1)  Where A has made and served an application in accordance with section 37(1) and (2), then despite any law or anything in the affected contract, another party to the affected contract may not take any action described in subsection (2) in relation to the prescribed obligation or prescribed right under the contract, or the prescribed term in the contract, that is the subject of the application, during the moratorium period described in subsection (3).
(2)  The actions mentioned in subsection (1) are —
(a)the commencement or continuation of an action in a court against A or A’s guarantor or surety;
(b)the commencement or continuation of arbitral proceedings under the Arbitration Act against A or A’s guarantor or surety;
(c)the making or continuation of an adjudication application under section 13(1) of SOPA for a claim against A;
(d)the enforcement of any security over any immovable property;
(e)the enforcement of any security over any movable property used for the purpose of a trade, business or profession;
(f)the making of an application under section 210(1) of the Companies Act (Cap. 50) for a meeting of creditors to be summoned to approve a compromise or an arrangement in relation to A or A’s guarantor or surety;
(g)the making of an application for a judicial management order in relation to A or A’s guarantor or surety;
(h)the making of an application for the winding up of A or A’s guarantor or surety;
(i)the making of a bankruptcy application against A or A’s guarantor or surety;
(j)the appointment of a receiver or manager over any property or undertaking of A or A’s guarantor or surety;
(k)the commencement or levying of execution, distress or other legal process against any property of A or A’s guarantor or surety, except with the leave of the court and subject to such terms as the court imposes;
(l)the repossession of any goods under any chattels leasing agreement, being goods used for the purpose of a trade, business or profession; and
(m)such other action as may be prescribed.
(3)  The moratorium period mentioned in subsection (1) starts on the date of service by A of the application in accordance with section 37(2) and ends on the earliest of the following:
(a)the withdrawal by A of A’s application;
(b)the rejection of the application by the Registrar under section 37(2B);
(c)the date a determination is made under section 38(1)(a) that the case is not one to which this Part applies;
(d)the date any determination is made under section 38(1)(b).
(4)  Sections 5(5), (7), (9), (10) and (11) and 8, and the regulations under section 5(12), apply with the necessary modifications in relation to an action mentioned in subsection (2) as they apply in relation to an action mentioned in section 5(3), and for this purpose —
(a)a reference to the subject inability is to the prescribed obligation or prescribed right under the affected contract, or the prescribed term in the affected contract, that is the subject of the application;
(b)a reference to the period mentioned in section 5(7) is to the moratorium period;
(c)a reference to section 5(2) is to subsection (1);
(d)a reference to regulations made under section 19 is to regulations made under section 39; and
(e)a reference in section 5(7) to a period of limitation prescribed by any law is, in the case of an action mentioned in subsection (2)(c), to the period under section 13(3)(a) of SOPA within which an adjudication application must be made.
(5)  Where an adjudication application under section 13(1) of SOPA is made or continued in breach of subsection (1), then either of the following (as applicable) applies:
(a)the authorised nominating body (as defined in section 2 of SOPA) must not take any further action on the adjudication application;
(b)the adjudicator (as defined in section 2 of SOPA) must terminate the adjudication proceedings.
(6)  Any of the following, namely:
(a)proceedings against A or A’s guarantor or surety before a court;
(b)arbitral proceedings against A or A’s guarantor or surety under the Arbitration Act;
(c)an adjudication application against A under section 13(1) of SOPA;
(d)such other proceedings as may be prescribed,
in relation to the prescribed obligation or prescribed right under the affected contract, or the prescribed term in the affected contract, that is the subject of the application under section 37(1), that are pending at the start of the moratorium period, must be stayed on the lodgment by A of a copy of the application with the court, arbitral tribunal, authorised nominating body or adjudicator as defined in SOPA, or other person or body before which the proceedings are brought, until the end of the moratorium period.
(7)  Any period prescribed in SOPA for the carrying out of an act in relation to an adjudication application under section 13(1) of SOPA that is pending at the start of the moratorium period, is extended by a period equal to the moratorium period.
[Act 30 of 2020 wef 30/09/2020]