Once a company is closed following either voluntarily or liquidation, it may be deregistered. The effect of deregistration is that the company no longer exists, although it is possible to reinstate the company to deal with outstanding claims.

Sometimes a company may be deregistered for failure to pay ASIC fees or failing to lodge annual returns, and in that case, any assets of the company vest in ASIC.

Deregistration by ASIC has serious repercussions for the conduct of the business of a company. The directors no longer have the power to deal with assets and any legal proceedings in the company's name cannot continue.

A director may apply to ASIC to have the company reinstated as long as certain criteria are met.

Any other person whose rights are affected by the deregistration of the company may have to apply to a Court to have the company reinstated.

Further information can be found on the ASIC website.