| Commentary

57.2 Ground (a)

| Commentary

57.2 Ground (a)

Ground (a)—that the arrangement as approved unfairly prejudices the interests of a creditor—relates only to unfairness brought about by the terms of the IVA itself1. The fact of the IVA or some extraneous matter, such as the status of any of the debts within or outside the proposal or the conduct of other creditors cannot be the basis of a challenge under this ground2. Unfair prejudice does not cover the situation where the creditor is concerned that the proposal is in some way improper and unfair on creditors because, for example, the debtor’s statement of affairs is

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