- Laws of Fiji

Last Updated: 1 August 2022

[INS 95] Moratorium95

(1) If a licensed person is under controllership, no person may, except as provided in subsections (2) and (5) —

(a)commence or continue any action or other proceedings, including proceedings by way of counterclaim, against the licensed person;
(b)issue any execution, attach any debt, or otherwise enforce or seek to enforce any judgment or order obtained in respect of the licensed person;
(c)petition to wind up the licensed person;
(d)foreclose, enter into possession, sell, appoint a receiver, or take or continue any power or rights whatsoever under or in pursuance of any mortgage, charge, debenture, instrument, or other security over the property of the licensed person;
(e)determine or forfeit any tenancy, distrain for rent, re-take or re-enter any premises or take or continue any power or rights whatsoever under or in pursuance of any lease, tenancy, or agreement to let or lease, against the licensed person; or
(f)exercise any right of set-off acquired prior to controllership against the licensed person.

(2) For the purpose of determining whether any right or liability exists, an action or proceeding may be commenced or continued against a licensed person under controllership—

(a)with the written consent of the Reserve Bank or the controller; or
(b)with the leave of the court and in accordance with any terms imposed by the court.

(3) An application for leave under subsection (2)(b) must be served on the Reserve Bank, which is entitled to be heard on it.

(4) Neither the Reserve Bank nor a controller incurs any liability as a result of a refusal to give a consent for the purposes of subsection (2).

(5) The Reserve Bank or a controller may waive the application of the whole or part of subsection (1) (except paragraph (c)) in favour of any secured creditor or class of creditors of the licensed person under controllership in respect of the whole or part of any claim of, or security held by, that creditor or class of creditors.

(6) Nothing in subsection (1) affects the existence of any security over the property of any licensed person under controllership or its priority in relation to other debts.