Zambia
Deeds of Arrangement Act, 1968
Chapter 84
- Commenced on 3 January 1969
- [This is the version of this document at 31 December 1996.]
Part I – Preliminary
1. Short title
This Act may be cited as the Deeds of Arrangement Act.2. Interpretation
3. Deeds of arrangement to which this Act applies
Part II – Avoidance of deeds of arrangement where statutory conditions not compiled with
4. Avoidance of unregistered deeds of arrangement
A deed of arrangement shall be void unless it is registered with the registrar within ninety clear days after the first execution thereof by the debtor or any creditor, or if it is executed in any place out of Zambia, then within ninety clear days after the time at which it would, in the ordinary course of post, arrive in Zambia, if posted within one week after the execution thereof, and unless it is duly stamped with the proper stamp duty.5. Avoidance of deeds of arrangement unless assented to by a majority of creditors
Part III – Registration of deeds of arrangement
6. Mode of registration
7. Form of register
The registrar shall keep a register wherein shall be entered, as soon as conveniently may be after the presentation of a deed for registration, an abstract of the contents of every deed of arrangement registered under this Act, containing the following and any other prescribed particulars:8. Rectification of register
The High Court, upon being satisfied that the omission to register a deed of arrangement within the time required by this Act or that the omission or misstatement of the name, residential or postal addresses, occupation or business name and address of any person was accidental, or was due to inadvertence, or to some cause beyond the control of the debtor and not imputable to any negligence on his part, may, on the application of any party interested, and on such terms and conditions as are just and expedient, extend the time for registration, or order the omission or misstatement to be supplied or rectified by the insertion in the register of the true name, residential and postal addresses, occupation and business name and address.9. Time for registration
Where the time for registering a deed of arrangement expires on a Sunday, or other day on which the registration office is closed, the registration shall be valid if made on the next following day on which the office is open.10. Inspection of register and registered deeds
Any person shall be entitled, at all reasonable times, to search the register on payment of such fee as may be prescribed, and subject to such regulations as may be prescribed, and shall be entitled, at all reasonable times, to inspect, examine, and make extracts from any registered deed of arrangement, without being required to make a written application or to specify any particulars in reference thereto, upon payment of such fee as may be prescribed:Provided that the extracts shall be limited to the dates of execution and of registration, the names, addresses, and occupations of the debtor and of the parties to the deed, the business name and address of the debtor, a short statement of the nature and effect of the deed, and any other prescribed particulars.Part IV – Provisions as to trustees
11. Security by trustee
12. Penalty on trustee acting when deed of arrangement void
If a trustee acts under a deed of arrangement—13. Transmission of accounts to official receiver
14. Transmission of accounts to creditors
Every trustee under a deed of arrangement shall, at the expiration of six months from the date of the registration of the deed, and thereafter at the expiration of every subsequent period of six months until the estate has been finally wound up, send to each creditor who has assented to the deed a statement in the prescribed form of the trustee's accounts and of the proceedings under the deed down to the date of the statement, and shall, in his affidavit verifying his accounts transmitted to the official receiver, state whether or not he has duly sent such statements, and the dates on which the statements were sent; and, if a trustee fails to comply with any of the provisions of this section, the High Court may, for the purpose of enforcing those provisions, exercise, on the application of the official receiver, all the powers conferred on the court by subsection (3) of section ninety-eight of the Bankruptcy Act in cases of bankruptcy.[Cap. 82]15. Audit of accounts
16. Payment of undistributed moneys into court
At any time after the expiration of two years from the date of the registration of a deed of arrangement, the High Court may, on the application of the trustee or a creditor, or on the application of the debtor, order that all moneys representing unclaimed dividends and undistributed funds then in the hands of the trustee or under his control be paid into court.17. Preferential payment to creditor an offence
If a trustee under a deed of arrangement pays to any creditor out of the debtor's property a sum larger in proportion to the creditor's claim than that paid to other creditors entitled to the benefit of the deed, then, unless the deed authorises him to do so, or unless such payments are either made to a creditor entitled to enforce his claim by distress or are such as would be lawful in a bankruptcy, he shall be guilty of an offence and liable on conviction to a fine not exceeding three thousand penalty units or to imprisonment for a period not exceeding twelve months, or to both.[As amended by Act No. 13 of 1994]18. Power to High Court to appoint new trustee
19. Protection of trustees under void deeds
20. Notice to creditors of avoidance of deed
When a deed of arrangement is void by virtue of this Act for any reason other than that, being for the benefit of creditors generally, it has not been registered within the time allowed for the purpose by this Act, the trustee shall, as soon as practicable after he has become aware that the deed is void, give notice in writing thereof to each creditor whose name and address he knows, and file a copy of the notice with the registrar, and, if he fails to do so, he shall be liable on conviction to a fine not exceeding six hundred penalty units.[As amended by Act No. 13 of 1994]21. Payment of expenses incurred by trustees
Where a deed of arrangement is avoided by reason of the bankruptcy of the debtor, any expenses properly incurred by the trustee under the deed in the performance of any of the duties imposed on him by this Act shall be allowed or paid him by the trustee in the bankruptcy as a first charge on the estate.22. Application of Part IV
The provisions of this Part, except such of those provisions—Part V – General
23. Courts in which applications for enforcement of trusts to be made
Any application by the trustee under a deed of arrangement, which either is expressed to be or is in fact for the benefit of the debtor's creditors generally, or by the debtor or by any creditor entitled to the benefit of such a deed of arrangement, for the enforcement of the trusts or the determination of questions under it, shall be made to the High Court.24. Relation to bankruptcy law
25. Office copies
Subject to the provisions of this Act and to any rules made thereunder, any person shall be entitled to have an office copy of, or extract from, any deed registered under this Act, upon paying for it at the like rate as for office copies of judgments of the High Court, and any copy or extract purporting to be an office copy or extract shall, in all courts and before all arbitrators or other persons, be admitted as prima facie evidence thereof, and of the fact and date of registration as shown thereon.26. Prescribed fees
There shall be taken, in respect of the registration of deeds of arrangement, and in respect of any copies or extracts or official searches made by the registrar, such fees as may be from time to time prescribed; and nothing in this Act contained shall make it obligatory on the registrar to do, or permit to be done, any act in respect of which any fee is specified or prescribed, except on payment of such fee.27. Rules
The Attorney-General may, from time to time, by statutory instrument, make rules for carrying into effect the objects of this Act, and may, from time to time, alter, amend, or revoke all or any of such rules.28. Affidavits
An affidavit required by or for the purpose of this Act may be sworn before any person before whom such an affidavit may under any law for the time being in force, be sworn.29. Repeal and savings
History of this document
31 December 1996 this version
Consolidation
03 January 1969
Commenced