UPM Institutional Repository

Schemes of arrangement as corporate rescue mechanisms: the Malaysia experience


Azmi, Ruzita and Abd Razak, Adilah (2015) Schemes of arrangement as corporate rescue mechanisms: the Malaysia experience. Commonwealth Law Bulletin, 41 (4). pp. 619-647. ISSN 0305-0718; ESSN: 1750-5976


The objective of the schemes of arrangement (SOA) is to arrive at a binding compromise or arrangement if it is approved by the Court on all the creditors or class of creditors or on the members or class of members and also on the company or, in the case of a company in the course of being wound up, on the liquidator and contributories of the company. There are a variety of modes and forms of compromises or arrangement or both under SOA, which can be used to rescue a company or its business, which is facing financial difficulties. Furthermore, the SOA enable a company to make an application to the court for a restraining order that provides a sort of moratorium from creditors’ action, giving the ailing companies time and space to negotiate the proposed Scheme that can be tailored to their needs to be rescued. This paper examines the process and effects of SOA. It also evaluates the use of the SOA in Malaysia as corporate rescue mechanisms.

Download File

Text (Abstract)
Schemes of arrangement as corporate rescue mechanisms the Malaysia experience.pdf

Download (67kB) | Preview

Additional Metadata

Item Type: Article
Divisions: Faculty of Economics and Management
DOI Number: https://doi.org/10.1080/03050718.2015.1101379
Publisher: Taylor & Francis
Keywords: Schemes of arrangement (SOA); Rescue mechanisms
Depositing User: Ms. Nida Hidayati Ghazali
Date Deposited: 30 Mar 2018 12:56
Last Modified: 30 Mar 2018 12:56
Altmetrics: http://www.altmetric.com/details.php?domain=psasir.upm.edu.my&doi=10.1080/03050718.2015.1101379
URI: http://psasir.upm.edu.my/id/eprint/46225
Statistic Details: View Download Statistic

Actions (login required)

View Item View Item