ABSTRACT
This chapter examines the peculiarities associated with the historic development of corporation's legislation in Australia. It explains what it means to be 'disqualified and what potential consequences there might be for disqualified persons if they are involved in the management of corporations while 'disqualified'. The chapter focuses on the current grounds upon which a person in Australia can be disqualified from acting as a director, and the interpretation and application of these provisions by the courts. It considers the provisions that serve as the enforcement mechanism for the disqualification provisions, and possible defences against an alleged contravention of section 206A(1) of the Corporations Act 2001, which contains criminal offences. The chapter examines the unique role of the regulator, the Australian Securities and Investment Commission (ASIC) in the Australian system; the purposes of corporate law in Australia; and the effectiveness of disqualification provisions in achieving these both in isolation and as part of the broader scheme of corporate governance in Australia.
