Rescue, Rehabilitation and Insolvency (Corporate and Personal) Act 2026 · As enacted · Part IX
249. Liability of administrator under pre-existing employment contracts
Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.
Official translationFrom Department of Government Printing, unchanged
An administrator shall not be liable for payment in relation to a contract of employment entered into before the administrator’s appointment, unless –
administrator expressly adopts the contract in writing; or
subsection (2) applies.
An administrator shall be liable for payment in relation to a contract of employment entered into from the date of the administrator’s appointment, of such sums that has accured for payment from the date of appointment of the administrator, in respect of –
wages or salary;
advance personal income tax;
provident fund dues;
statutory gratuity; and
employees trust fund dues, the administrator shall make payments that has, accrued from the date of appointment of the administrator, up to the earliest of –
the end of the administration;
the date on which the administrator ceases to be an administrator; and
the date of termination of the contract,
Rescue, Rehabilitation and Insolvency if the administrator gives notice of termination of the contract, in accordance with the law applicable for termination of employment, within ten working days after the appointment, the end of the administration or the date on which the administrator ceases to be an administrator, whichever is earliest.
Where the administrator does not give notice of termination of the contract, in accordance with the law applicable to termination of employment, within ten working days after the appointment.
The court may, on the application of an administrator, if made before the end of the period of ten working days extend that period on such terms and conditions as may be necessary.
Part X
Compromises
Part XI
Micro Small Medium Enterprise (MSME) Company Debt Restructuring Arrangements
Part XII
Part XIII
Part XIV