Law

Insolvency Act 1986

United Kingdom · statute

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In force since 2026-10-01, as the publisher states.

Copy read on 2026-11-08. The page it was read from

Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.

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Contents: 666 provisions
  1. Title and introductory text
  2. A1 Overview
  3. A2 Eligible companies
  4. A3 Obtaining a moratorium by filing or lodging documents at court
  5. A4 Obtaining a moratorium for company subject to winding-up petition
  6. A5 Obtaining a moratorium for other overseas companies
  7. A6 The relevant documents
  8. A7 Beginning of moratorium and appointment of monitor
  9. A8 Obligations to notify where moratorium comes into force
  10. A9 End of the moratorium
  11. A10 Extension by directors without creditor consent
  12. A11 Extension by directors with creditor consent
  13. A12 Creditor consent for the purposes of section A11
  14. A13 Extension by court on application of directors
  15. A14 Extension while proposal for CVA pending
  16. A15 Extension by court in the course of other proceedings
  17. A16 Company enters into insolvency procedure etc
  18. A17 Obligations to notify change in end of moratorium
  19. A18 Overview and construction of references to payment holidays
  20. A19 Publicity about moratorium
  21. A20 Restrictions on insolvency proceedings etc
  22. A21 Restrictions on enforcement and legal proceedings
  23. A22 Floating charges
  24. A23 Enforcement of security granted during moratorium
  25. A24 Duty of directors to notify monitor of insolvency proceedings etc
  26. A25 Restrictions on obtaining credit
  27. A26 Restrictions on grant of security etc
  28. A27 Prohibition on entering into market contracts etc
  29. A28 Restrictions on payment of certain pre-moratorium debts
  30. A29 Restrictions on disposal of property
  31. A30 Restrictions on disposal of hire-purchase property
  32. A31 Disposal of charged property free from charge
  33. A32 Disposal of hire-purchase property
  34. A33 Contravention of certain requirements imposed under this Chapter
  35. A34 Status of monitor
  36. A35 Monitoring
  37. A36 Provision of information to monitor
  38. A37 Application by monitor for directions
  39. A38 Termination of moratorium by monitor
  40. A39 Replacement of monitor or appointment of additional monitor
  41. A40 Application of Part where two or more persons act as monitor
  42. A41 Presumption of validity
  43. A42 Challenge to monitor’s actions
  44. A43 Challenges to monitor remuneration in insolvency proceedings
  45. A44 Challenge to directors’ actions
  46. A45 Challenge brought by Board of the Pension Protection Fund
  47. A46 Offence of fraud etc during or in anticipation of moratorium
  48. A47 Offence of false representation etc to obtain a moratorium
  49. A48 Prosecution of delinquent officers of company
  50. A49 Regulated companies: modifications to this Part
  51. A50 Power to modify this Part etc in relation to certain companies
  52. A51 Power to make provision in connection with pension schemes
  53. A52 Void provisions in floating charge documents
  54. A53 Meaning of “pre-moratorium debt” and “moratorium debt”
  55. A54 Interpretation of this Part: general
  56. A55 Regulations
  57. 1 Those who may propose an arrangement.
  58. 1A Moratorium.
  59. 2 Procedure where nominee is not the liquidator or administrator.
  60. 3 Consideration of proposal.
  61. 4 Decisions of the company and its creditors.
  62. 4A Approval of arrangement.
  63. 5 Effect of approval.
  64. 6 Challenge of decisions.
  65. 6A False representations, etc.
  66. 7 Implementation of proposal.
  67. 7A Prosecution of delinquent officers of company.
  68. 7B Arrangements coming to an end prematurely.
  69. 8 Administration
  70. 9 Application for order.
  71. 10 Effect of application.
  72. 11 Effect of order.
  73. 12 Notification of order.
  74. 13 Appointment of administrator.
  75. 14 General powers.
  76. 15 Power to deal with charged property, etc.
  77. 16 Operation of s. 15 in Scotland.
  78. 17 General duties.
  79. 18 Discharge or variation of administration order.
  80. 19 Vacation of office.
  81. 20 Release of administrator.
  82. 21 Information to be given by administrator.
  83. 22 Statement of affairs to be submitted to administrator.
  84. 23 Statement of proposals.
  85. 24 Consideration of proposals by creditors’ meeting.
  86. 25 Approval of substantial revisions.
  87. 26 Creditors’ committee.
  88. 27 Protection of interests of creditors and members.
  89. 28 Extent of this Chapter.
  90. 29 Definitions.
  91. 30 Disqualification of body corporate from acting as receiver.
  92. 31 Disqualification of bankrupt or person in respect of whom a debt relief order is made
  93. 32 Power for court to appoint official receiver.
  94. 33 Time from which appointment is effective.
  95. 34 Liability for invalid appointment.
  96. 35 Application to court for directions.
  97. 36 Court’s power to fix remuneration.
  98. 37 Liability for contracts, etc.
  99. 38 Receivership accounts to be delivered to registrar.
  100. 39 Notification that receiver or manager appointed.
  101. 40 Payment of debts out of assets subject to floating charge.
  102. 41 Enforcement of duty to make returns.
  103. 42 General powers.
  104. 43 Power to dispose of charged property, etc.
  105. 44 Agency and liability for contracts.
  106. 45 Vacation of office.
  107. 46 Information to be given by administrative receiver.
  108. 47 Statement of affairs to be submitted.
  109. 48 Report by administrative receiver.
  110. 49 Committee of creditors.
  111. 50 Extent of this Chapter.
  112. 51 Power to appoint receiver.
  113. 52 Circumstances justifying appointment.
  114. 53 Mode of appointment by holder of charge.
  115. 54 Appointment by court.
  116. 55 Powers of receiver.
  117. 56 Precedence among receivers.
  118. 57 Agency and liability of receiver for contracts.
  119. 58 Remuneration of receiver.
  120. 59 Priority of debts.
  121. 60 Distribution of moneys.
  122. 61 Disposal of interest in property.
  123. 62 Cessation of appointment of receiver.
  124. 63 Powers of court.
  125. 64 Notification that receiver appointed.
  126. 65 Information to be given by receiver.
  127. 66 Company’s statement of affairs.
  128. 67 Report by receiver.
  129. 68 Committee of creditors
  130. 69 Enforcement of receiver’s duty to make returns, etc.
  131. 70 Interpretation for Chapter II.
  132. 71 Prescription of forms, etc.; regulations.
  133. 72 Cross-border operation of receivership provisions.
  134. 72A Floating charge holder not to appoint administrative receiver
  135. 72B First exception: capital market
  136. 72C Second exception: public-private partnership
  137. 72D Third exception: utilities
  138. 72DA Exception in respect of urban regeneration projects
  139. 72E Fourth exception: project finance
  140. 72F Fifth exception: financial market
  141. 72G Sixth exception: social landlords
  142. 72GA Exception in relation to protected railway companies etc.
  143. 72H Sections 72A to 72G: supplementary
  144. 73 Scheme of this Part
  145. 74 Liability as contributories of present and past members.
  146. 75 Directors, etc. with unlimited liability.
  147. 76 Liability of past directors and shareholders.
  148. 77 Limited company formerly unlimited.
  149. 78 Unlimited company formerly limited.
  150. 79 Meaning of “contributory”.
  151. 80 Nature of contributory’s liability.
  152. 81 Contributories in case of death of a member.
  153. 82 Effect of contributory’s bankruptcy.
  154. 83 Companies registered but not formed under the Companies Act 2006
  155. 84 Circumstances in which company may be wound up voluntarily.
  156. 85 Notice of resolution to wind up.
  157. 86 Commencement of winding up.
  158. 87
  159. 88 Avoidance of share transfers, etc. after winding-up resolution.
  160. 89 Statutory declaration of solvency.
  161. 90 Distinction between “members’” and “creditors’” voluntary winding up.
  162. 91 Appointment of liquidator.
  163. 92 Power to fill vacancy in office of liquidator.
  164. 92A Progress report to company ...
  165. 93 General company meeting at each year’s end (Scotland)
  166. 94 Final account prior to dissolution
  167. 95 Effect of company’s insolvency.
  168. 96 Conversion to creditors’ voluntary winding up.
  169. 97 Application of this Chapter.
  170. 98 Meeting of creditors.
  171. 99 Directors to lay statement of affairs before creditors.
  172. 100 Appointment of liquidator.
  173. 101 Appointment of liquidation committee.
  174. 102 Creditors’ meeting where winding up converted under s. 96.
  175. 103 Cesser of directors’ powers.
  176. 104 Vacancy in office of liquidator.
  177. 104A Progress report to company and creditors ... ...
  178. 105 Meetings of company and creditors at each year’s end (Scotland).
  179. 106 Final account prior to dissolution.
  180. 107 Distribution of company’s property.
  181. 108 Appointment or removal of liquidator by the court.
  182. 109 Notice by liquidator of his appointment.
  183. 110 Acceptance of shares, etc., as consideration for sale of company property.
  184. 111 Dissent from arrangement under s. 110.
  185. 112 Reference of questions to court.
  186. 113 Court’s power to control proceedings (Scotland).
  187. 114 No liquidator appointed or nominated by company.
  188. 115 Expenses of voluntary winding up.
  189. 116 Saving for certain rights.
  190. 117 High Court and county court jurisdiction.
  191. 118 Proceedings taken in wrong court.
  192. 119 Proceedings in county court; case stated for High Court.
  193. 120 Court of Session and sheriff court jurisdiction.
  194. 121 Power to remit winding up to Lord Ordinary.
  195. 122 Circumstances in which company may be wound up by the court.
  196. 123 Definition of inability to pay debts.
  197. 124 Application for winding up.
  198. 124A Petition for winding up on grounds of public interest.
  199. 124B Petition for winding up of SE
  200. 124C Petition for winding up of SCE
  201. 125 Powers of court on hearing of petition.
  202. 126 Power to stay or restrain proceedings against company.
  203. 127 Avoidance of property dispositions, etc.
  204. 128 Avoidance of attachments, etc.
  205. 129 Commencement of winding up by the court.
  206. 130 Consequences of winding-up order.
  207. 131 Company’s statement of affairs.
  208. 132 Investigation by official receiver.
  209. 133 Public examination of officers
  210. 134 Enforcement of s. 133.
  211. 135 Appointment and powers of provisional liquidator.
  212. 136 Functions of official receiver in relation to office of liquidator.
  213. 137 Appointment by Secretary of State.
  214. 138 Appointment of liquidator in Scotland.
  215. 139 Choice of liquidator by creditors and contributories.
  216. 140 Appointment by the court following administration or voluntary arrangement.
  217. 141 Liquidation committee (England and Wales).
  218. 142 Liquidation committee (Scotland).
  219. 143 General functions in winding up by the court.
  220. 144 Custody of company’s property.
  221. 145 Vesting of company property in liquidator.
  222. 146 Final account
  223. 146A Official receiver’s duty to send statement to registrar about other proceedings
  224. 147 Power to stay or sist winding up.
  225. 148 Settlement of list of contributories and application of assets.
  226. 149 Debts due from contributory to company.
  227. 150 Power to make calls.
  228. 151 Payment into bank of money due to company.
  229. 152 Order on contributory to be conclusive evidence.
  230. 153 Power to exclude creditors not proving in time.
  231. 154 Adjustment of rights of contributories.
  232. 155 Inspection of books by creditors, etc.
  233. 156 Payment of expenses of winding up.
  234. 157 Attendance at company meetings (Scotland).
  235. 158 Power to arrest absconding contributory.
  236. 159 Powers of court to be cumulative.
  237. 160 Delegation of powers to liquidator (England and Wales).
  238. 161 Orders for calls on contributories (Scotland).
  239. 162 Appeals from orders in Scotland.
  240. 163 Style and title of liquidators.
  241. 164 Corrupt inducement affecting appointment.
  242. 165 Voluntary winding up.
  243. 166 Creditors’ voluntary winding up.
  244. 167 Winding up by the court.
  245. 168 Supplementary powers (England and Wales).
  246. 169 Supplementary powers (Scotland).
  247. 170 Enforcement of liquidator’s duty to make returns, etc.
  248. 171 Removal, etc. (voluntary winding up).
  249. 172 Removal, etc. (winding up by the court).
  250. 173 Release (voluntary winding up).
  251. 174 Release (winding up by the court).
  252. 174A Moratorium debts etc: priority
  253. 175 Preferential debts (general provision).
  254. 176 Preferential charge on goods distrained , etc.
  255. 176AZA Non-preferential debts of financial institutions
  256. 176ZA Payment of expenses of winding up (England and Wales)
  257. 176ZB Application of proceeds of office-holder claims
  258. 176A Share of assets for unsecured creditors
  259. 177 Power to appoint special manager.
  260. 178 Power to disclaim onerous property.
  261. 179 Disclaimer of leaseholds.
  262. 180 Land subject to rentcharge.
  263. 181 Powers of court (general).
  264. 182 Powers of court (leaseholds).
  265. 183 Effect of execution or attachment (England and Wales).
  266. 184 Duties of officers charged with execution of writs and other processes (England and Wales).
  267. 185 Effect of diligence (Scotland)
  268. 186 Rescission of contracts by the court.
  269. 187 Power to make over assets to employees.
  270. 188 Notification that company is in liquidation.
  271. 189 Interest on debts.
  272. 190 Documents exempt from stamp duty.
  273. 191 Company’s books to be evidence.
  274. 192 Information as to pending liquidations.
  275. 193 Unclaimed dividends (Scotland).
  276. 194 Resolutions passed at adjourned meetings.
  277. 195 Court's powers to ascertain wishes of creditors or contributories.
  278. 196 Judicial notice of court documents.
  279. 197 Commission for receiving evidence.
  280. 198 Court order for examination of persons in Scotland.
  281. 199 Costs of application for leave to proceed (Scottish companies).
  282. 200 Affidavits etc. in United Kingdom and overseas.
  283. 201 Dissolution (voluntary winding up).
  284. 202 Early dissolution (England and Wales).
  285. 203 Consequence of notice under s. 202.
  286. 204 Early dissolution (Scotland).
  287. 205 Dissolution otherwise than under ss. 202-204.
  288. 206 Fraud, etc. in anticipation of winding up.
  289. 207 Transactions in fraud of creditors.
  290. 208 Misconduct in course of winding up.
  291. 209 Falsification of company’s books.
  292. 210 Material omissions from statement relating to company’s affairs.
  293. 211 False representations to creditors.
  294. 212 Summary remedy against delinquent directors, liquidators, etc.
  295. 213 Fraudulent trading.
  296. 214 Wrongful trading.
  297. 215 Proceedings under ss. 213, 214.
  298. 216 Restriction on re-use of company names.
  299. 217 Personal liability for debts, following contravention of s. 216.
  300. 218 Prosecution of delinquent officers and members of company.
  301. 219 Obligations arising under s. 218.
  302. 220 Meaning of “unregistered company”.
  303. 221 Winding up of unregistered companies.
  304. 222 Inability to pay debts: unpaid creditor for £750 or more.
  305. 223 Inability to pay debts: debt remaining unsatisfed after action brought.
  306. 224 Inability to pay debts: other cases.
  307. 225 Company incorporated outside Great Britain may be wound up though dissolved.
  308. 226 Contributories in winding up of unregistered company.
  309. 227 Power of court to stay, sist or restrain proceedings.
  310. 228 Actions stayed on winding-up order.
  311. 229 Provisions of this Part to be cumulative.
  312. 230 Holders of office to be qualified insolvency practitioners.
  313. 231 Appointment to office of two or more persons.
  314. 232 Validity of office-holder’s acts.
  315. 233 Supplies of gas, water, electricity, etc.
  316. 233A Further protection of essential supplies
  317. 233B Protection of supplies of goods and services
  318. 233C Powers to amend section 233B and Schedule 4ZZA
  319. 234 Getting in the company’s property.
  320. 235 Duty to co-operate with office-holder.
  321. 236 Inquiry into company’s dealings, etc.
  322. 237 Court’s enforcement powers under s. 236.
  323. 238 Transactions at an undervalue (England and Wales).
  324. 239 Preferences (England and Wales).
  325. 240 “Relevant time” under ss. 238, 239.
  326. 241 Orders under ss. 238, 239.
  327. 242 Gratuitous alienations (Scotland).
  328. 243 Unfair preferences (Scotland).
  329. 244 Extortionate credit transactions.
  330. 245 Avoidance of certain floating charges.
  331. 246 Unenforceability of liens on books, etc.
  332. 246ZA Fraudulent trading: administration
  333. 246ZB Wrongful trading: administration
  334. 246ZC Proceedings under section 246ZA or 246ZB
  335. 246ZD Power to assign
  336. 246ZE Decisions by creditors and contributories: general
  337. 246ZF Deemed consent procedure
  338. 246ZG Power to amend sections 246ZE and 246ZF
  339. 246A Remote attendance at meetings
  340. 246B Use of websites
  341. 246C Creditors' ability to opt out of receiving certain notices
  342. 247 “Insolvency” and “go into liquidation”.
  343. 248 “Secured creditor”, etc.
  344. 248A “Opted-out creditor”
  345. 249 “Connected” with a company.
  346. 250 “Member” of a company.
  347. 251 Expressions used generally.
  348. 251A Debt relief orders
  349. 251B Making of application
  350. 251C Duty of official receiver to consider and determine application
  351. 251D Presumptions applicable to the determination of an application
  352. 251E Making of debt relief orders
  353. 251F Effect of debt relief order on other debt management arrangements
  354. 251G Moratorium from qualifying debts
  355. 251H The moratorium period
  356. 251I Discharge from qualifying debts
  357. 251J Providing assistance to official receiver etc
  358. 251K Objections and investigations
  359. 251L Power of official receiver to revoke or amend a debt relief order
  360. 251M Powers of court in relation to debt relief orders
  361. 251N Inquiry into debtor's dealings and property
  362. 251O False representations and omissions
  363. 251P Concealment or falsification of documents
  364. 251Q Fraudulent disposal of property
  365. 251R Fraudulent dealing with property obtained on credit
  366. 251S Obtaining credit or engaging in business
  367. 251T Offences: supplementary
  368. 251U Approved intermediaries
  369. 251V Debt relief restrictions orders and undertakings
  370. 251W Register of debt relief orders etc
  371. 251X Interpretation
  372. 252 Interim order of court.
  373. 253 Application for interim order.
  374. 254 Effect of application.
  375. 255 Cases in which interim order can be made.
  376. 256 Nominee’s report on debtor’s proposal.
  377. 256A Debtor’s proposal and nominee’s report.
  378. 257 Consideration of debtor's proposal by creditors
  379. 258 Approval of debtor's proposal
  380. 259 Report of decisions to court.
  381. 260 Effect of approval.
  382. 261 Additional effect on undischarged bankrupt
  383. 262 Challenge of creditors' decision.
  384. 262A False representations etc.
  385. 262B Prosecution of delinquent debtors.
  386. 262C Arrangements coming to an end prematurely.
  387. 263 Implementation and supervision of approved voluntary arrangement.
  388. 263A Availability
  389. 263B Decision
  390. 263C Result
  391. 263D Approval of voluntary arrangement
  392. 263E Implementation
  393. 263F Revocation
  394. 263G Offences
  395. 263H Bankruptcy applications to an adjudicator
  396. 263I Debtors against whom an adjudicator may make a bankruptcy order
  397. 263J Conditions applying to bankruptcy application
  398. 263K Determination of bankruptcy application
  399. 263L Adjudicator's requests for further information
  400. 263M Making of bankruptcy order
  401. 263N Refusal to make a bankruptcy order: review and appeal etc.
  402. 263O False representations and omissions
  403. 264 Who may present a bankruptcy petition.
  404. 265 Creditor's petition: debtors against whom the court may make a bankruptcy order.
  405. 266 Other preliminary conditions.
  406. 267 Grounds of creditor’s petition.
  407. 268 Definition of “inability to pay”, etc.; the statutory demand.
  408. 269 Creditor with security.
  409. 270 Expedited petition.
  410. 271 Proceedings on creditor’s petition.
  411. 272 Grounds of debtor’s petition.
  412. 273 Appointment of insolvency practitioner by the court.
  413. 274 Action on report of insolvency practitioner.
  414. 274A Debtor who meets conditions for a debt relief order
  415. 275 Summary administration.
  416. 276 Default in connection with voluntary arrangement.
  417. 277 Petition based on criminal bankruptcy order.
  418. 278 Commencement and continuance.
  419. 279 Duration
  420. 280 Discharge by order of the court.
  421. 281 Effect of discharge.
  422. 281A Post-discharge restrictions
  423. 282 Court’s power to annul bankruptcy order.
  424. 283 Definition of bankrupt’s estate.
  425. 283A Bankrupt’s home ceasing to form part of estate
  426. 284 Restrictions on dispositions of property.
  427. 285 Restriction on proceedings and remedies.
  428. 286 Power to appoint interim receiver.
  429. 287 Powers of interim receiver.
  430. 288 Statement of affairs.
  431. 289 Investigatory duties of official receiver
  432. 290 Public examination of bankrupt.
  433. 291 Duties of bankrupt in relation to official receiver.
  434. 291A First trustee in bankruptcy
  435. 292 Appointment of trustees: general provision
  436. 293 Summoning of meeting to appoint first trustee.
  437. 294 Power of creditors to requisition meeting.
  438. 295 Failure of meeting to appoint trustee.
  439. 296 Appointment of trustee by Secretary of State.
  440. 297 Special cases.
  441. 298 Removal of trustee; vacation of office.
  442. 299 Release of trustee.
  443. 300 Vacancy in office as trustee.
  444. 301 Creditors’ committee.
  445. 302 Exercise by Secretary of State of functions of creditors’ committee.
  446. 303 General control of trustee by the court.
  447. 304 Liability of trustee.
  448. 305 General functions of trustee.
  449. 306 Vesting of bankrupt’s estate in trustee.
  450. 306A Property subject to restraint order
  451. 306AA Property released from detention
  452. 306B Property in respect of which receivership or administration order made
  453. 306BA Property in respect of which realisation order made
  454. 306C Property subject to certain orders where confiscation order discharged or quashed
  455. 307 After-acquired property.
  456. 308 Vesting in trustee of certain items of excess value.
  457. 308A Vesting in trustee of certain tenancies.
  458. 309 Time-limit for notice under s. 307 or 308.
  459. 310 Income payments orders.
  460. 310A Income payments agreement
  461. 311 Acquisition by trustee of control.
  462. 312 Obligation to surrender control to trustee.
  463. 313 Charge on bankrupt’s home.
  464. 313A Low value home: application for sale, possession or charge
  465. 314 Powers of trustee.
  466. 315 Disclaimer (general power).
  467. 316 Notice requiring trustee’s decision.
  468. 317 Disclaimer of leaseholds.
  469. 318 Disclaimer of dwelling house.
  470. 319 Disclaimer of land subject to rentcharge.
  471. 320 Court order vesting disclaimed property.
  472. 321 Order under s. 320 in respect of leaseholds.
  473. 322 Proof of debts.
  474. 323 Mutual credit and set-off.
  475. 324 Distribution by means of dividend.
  476. 325 Claims by unsatisfied creditors.
  477. 326 Distribution of property in specie.
  478. 327 Distribution in criminal bankruptcy.
  479. 328 Priority of debts.
  480. 329 Debts to spouse.
  481. 330 Final distribution.
  482. 331 Final report.
  483. 332 Saving for bankrupt’s home.
  484. 333 Duties of bankrupt in relation to trustee.
  485. 334 Stay of distribution in case of second bankruptcy.
  486. 335 Adjustment between earlier and later bankruptcy estates.
  487. 335A Rights under trusts of land.
  488. 336 Rights of occupation etc. of bankrupt’s spouse or civil partner.
  489. 337 Rights of occupation of bankrupt.
  490. 338 Payments in respect of premises occupied by bankrupt.
  491. 339 Transactions at an undervalue.
  492. 340 Preferences.
  493. 341 “Relevant time” under ss. 339, 340.
  494. 342 Orders under ss. 339, 340.
  495. 342A Recovery of excessive pension contributions.
  496. 342B Orders under section 342A.
  497. 342C Orders under section 342A: supplementary.
  498. 342D Recovery of excessive contributions in pension-sharing cases.
  499. 342E Orders under section 339 or 340 in respect of pension-sharing transactions.
  500. 342F Orders under section 339 or 340 in pension-sharing cases: supplementary.
  501. 343 Extortionate credit transactions.
  502. 344 Avoidance of general assignment of book debts.
  503. 345 Contracts to which bankrupt is a party.
  504. 346 Enforcement procedures.
  505. 347 Distress, etc.
  506. 348 Apprenticeships, etc.
  507. 349 Unenforceability of liens on books, etc.
  508. 349A Arbitration agreements to which bankrupt is party.
  509. 350 Scheme of this Chapter.
  510. 351 Definitions.
  511. 352 Defence of innocent intention.
  512. 353 Non-disclosure.
  513. 354 Concealment of property.
  514. 355 Concealment of books and papers; falsification.
  515. 356 False statements.
  516. 357 Fraudulent disposal of property.
  517. 358 Absconding.
  518. 359 Fraudulent dealing with property obtained on credit.
  519. 360 Obtaining credit; engaging in business.
  520. 361 Failure to keep proper accounts of business.
  521. 362 Gambling.
  522. 363 General control of court.
  523. 364 Power of arrest.
  524. 365 Seizure of bankrupt’s property.
  525. 366 Inquiry into bankrupt’s dealings and property.
  526. 367 Court’s enforcement powers under s. 366.
  527. 368 Provision corresponding to s. 366, where interim receiver appointed.
  528. 369 Order for production of documents by inland revenue.
  529. 370 Power to appoint special manager.
  530. 371 Re-direction of bankrupt’s letters, etc.
  531. 372 Supplies of gas, water, electricity, etc.
  532. 372A Further protection of essential supplies
  533. 373 Jurisdiction in relation to insolvent individuals.
  534. 374 Insolvency districts.
  535. 375 Appeals etc. from courts exercising insolvency jurisdiction.
  536. 376 Time-limits.
  537. 377 Formal defects.
  538. 378 Exemption from stamp duty.
  539. 379 Annual report.
  540. 379ZA Creditors' decisions: general
  541. 379ZB Deemed consent procedure
  542. 379ZC Power to amend sections 379ZA and 379ZB
  543. 379A Remote attendance at meetings
  544. 379B Use of websites
  545. 379C Creditors' ability to opt out of receiving certain notices
  546. 380 Introductory.
  547. 381 “Bankrupt” and associated terminology.
  548. 382 “Bankruptcy debt” , “liability”
  549. 383 “Creditor”, “security”, etc.
  550. 383A “Opted-out creditor”
  551. 384 “Prescribed” and “the rules”.
  552. 385 Miscellaneous definitions.
  553. 386 Categories of preferential debts.
  554. 387 “The relevant date”.
  555. 387A Financial institutions and their non-preferential debts
  556. 388 Meaning of “act as insolvency practitioner”
  557. 389 Acting without qualification an offence.
  558. 389A Authorisation of nominees and supervisors.
  559. 389B Official receiver as nominee or supervisor
  560. 390 Persons not qualified to act as insolvency practitioners.
  561. 390A Authorisation
  562. 390B Partial authorisation: acting in relation to partnerships
  563. 391 Recognised professional bodies
  564. 391A Application for recognition as recognised professional body
  565. 391B Application of regulatory objectives
  566. 391C Meaning of “regulatory functions” and “regulatory objectives”
  567. 391D Directions
  568. 391E Directions: procedure
  569. 391F Financial penalty
  570. 391G Financial penalty: procedure
  571. 391H Appeal against financial penalty
  572. 391I Recovery of financial penalties
  573. 391J Reprimand
  574. 391K Reprimand: procedure
  575. 391L Revocation of recognition at instigation of Secretary of State
  576. 391M Orders under section 391L: procedure
  577. 391N Revocation of recognition at request of body
  578. 391O Direct sanctions orders
  579. 391P Application for, and power to make, direct sanctions order
  580. 391Q Direct sanctions order: conditions
  581. 391R Direct sanctions direction instead of order
  582. 391S Power for Secretary of State to obtain information
  583. 391T Compliance orders
  584. 398A Appointment etc of adjudicators and assistants
  585. 399 Appointment, etc. of official receivers.
  586. 400 Functions and status of official receivers.
  587. 401 Deputy official receivers and staff.
  588. 402 Official Petitioner.
  589. 403 Insolvency Services Account.
  590. 404 Investment Account.
  591. 405 Application of income in Investment Account; adjustment of balances.
  592. 406 Interest on money received by liquidators or trustees in bankruptcy and invested.
  593. 407 Unclaimed dividends and undistributed balances.
  594. 408 Adjustment of balances
  595. 409 Annual financial statement and audit.
  596. 410 Extent of this Part.
  597. 411 Company insolvency rules.
  598. 412 Individual insolvency rules (England and Wales).
  599. 413 Insolvency Rules Committee.
  600. 414 Fees orders (company insolvency proceedings).
  601. 415 Fees orders (individual insolvency proceedings in England and Wales).
  602. 415A Fees orders (general)
  603. 415B Monetary limits (company moratorium)
  604. 416 Monetary limits (companies winding up).
  605. 417 Money sum in s. 222.
  606. 417A Money sums (company moratorium).
  607. 418 Monetary limits (bankruptcy).
  608. 419 Regulations for purposes of Part XIII.
  609. 420 Insolvent partnerships.
  610. 421 Insolvent estates of deceased persons.
  611. 421A Insolvent estates: joint tenancies.
  612. 422 Formerly authorised banks.
  613. 422A Meaning of “relevant offence”
  614. 423 Transactions defrauding creditors.
  615. 424 Those who may apply for an order under s. 423.
  616. 425 Provision which may be made by order under s. 423.
  617. 426 Co-operation between courts exercising jurisdiction in relation to insolvency.
  618. 426A Disqualification from Parliament (England and Wales and Northern Ireland)
  619. 426B Devolution
  620. 426C Irrelevance of privilege
  621. 427 Disqualification from Parliament (Scotland ...)
  622. 428 Exemptions from Restrictive Trade Practices Act.
  623. 429 Disabilities on revocation of administration order against an individual.
  624. 430 Provision introducing Schedule of punishments.
  625. 431 Summary proceedings.
  626. 432 Offences by bodies corporate.
  627. 433 Admissibility in evidence of statements of affairs, etc.
  628. 434 Crown application.
  629. 434A Introductory
  630. 434B Representation of corporations in decision procedures and at meetings
  631. 434C Legal professional privilege
  632. 434D Enforcement of company's filing obligations
  633. 434E Application of filing obligations to overseas companies
  634. 435 Meaning of “associate”.
  635. 436 Expressions used generally.
  636. 436A Proceedings under EU Regulations: modified definition of property
  637. 436B References to things in writing
  638. 437 Transitional provisions, and savings.
  639. 438 Repeals.
  640. 439 Amendment of enactments.
  641. 440 Extent (Scotland).
  642. 441 Extent (Northern Ireland).
  643. 442 Extent (other territories).
  644. 443 Commencement.
  645. 444 Citation.
  646. SCHEDULE ZA1 Moratorium: Eligible companies
  647. SCHEDULE ZA2 Moratorium: contract or other instrument involving financial services
  648. SCHEDULE B1 ADMINISTRATION
  649. SCHEDULE 1 Powers of Administrator or Administrative Receiver
  650. SCHEDULE 2 Powers of a Scottish Receiver (Additional to Those Conferred on him by the Instrument of Charge)
  651. SCHEDULE 2A EXCEPTIONS TO PROHIBITION ON APPOINTMENT OF ADMINISTRATIVE RECEIVER: SUPPLEMENTARY PROVISIONS
  652. SCHEDULE 3 Orders in Course of Winding Up Pronounced in Vacation (Scotland)
  653. SCHEDULE 4 Powers of Liquidator in a Winding Up
  654. SCHEDULE 4ZZA Protection of supplies under section 233B: exclusions
  655. SCHEDULE 4ZA Conditions for making a debt relief order
  656. SCHEDULE 4ZB Debt relief restrictions orders and undertakings
  657. SCHEDULE 4A
  658. SCHEDULE 5 Powers of Trustee in Bankruptcy
  659. SCHEDULE 6 The Categories of Preferential Debts
  660. SCHEDULE 8 Provisions Capable of Inclusion in Company Insolvency Rules
  661. SCHEDULE 9 Provisions Capable of Inclusion in Individual Insolvency Rules
  662. SCHEDULE 10 Punishment of Offences under this Act
  663. SCHEDULE 11 Transitional Provisions and Savings
  664. SCHEDULE 12 Enactments Repealed
  665. SCHEDULE 13 Consequential Amendments of Companies Act 1985
  666. SCHEDULE 14 Consequential Amendments of other Enactments

Proposed changes to this act

No one has proposed a change to this act yet.

666 provisions

415 Fees orders (individual insolvency proceedings in England and Wales).

(1) There shall be paid in respect of— (za) the costs of persons acting as approved intermediaries under Part 7A, (a) proceedings under Parts 7A to 11 of this Act, ... (b) the performance by the official receiver or the Secretary of State of functions under those Parts, and (c) the performance by an adjudicator of functions under Part 9 of this Act, such fees as the Lord Chancellor may with the sanction of the Treasury by order direct. (1A) An order under subsection (1) may make different provision for different purposes, including by reference to the manner or form in which proceedings are commenced. (2) The Treasury may by order direct by whom and in what manner the fees are to be collected and accounted for. (3) The Lord Chancellor may, with the sanction of the Treasury, by order provide for sums to be deposited, by such persons, in such manner and in such circumstances as may be specified in the order, by way of security for— (a) fees payable by virtue of this section, and (b) fees payable to any person who has prepared an insolvency practitioner’s report under section 274 in Chapter I of Part IX. (4) An order under this section may contain such incidental, supplemental and transitional provisions as may appear to the Lord Chancellor or, as the case may be, the Treasury, necessary or expedient. (5) An order under this section shall be made by statutory instrument and, after being made, shall be laid before each House of Parliament. (6) Fees payable by virtue of this section shall be paid into the Consolidated Fund. (7) Nothing in this section prejudices any power to make rules of court.

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415A Fees orders (general)

(A1) The Secretary of State— (a) may by order require a person or body to pay a fee in connection with the grant or maintenance of a designation of that person or body as a competent authority under section 251U, and (b) may refuse to grant, or may withdraw, any such designation where a fee is not paid. (1) The Secretary of State— (a) may by order require a body to pay a fee in connection with the grant or maintenance of recognition of the body under section 391, and (b) may refuse recognition, or revoke an order of recognition under section 391(1) or (2) by a further order, where a fee is not paid. (1A) Fees under subsection (1) may vary according to whether the body is recognised under section 391(1) (body providing full and partial authorisation) or under section 391(2) (body providing partial authorisation). (1B) In setting under subsection (1) the amount of a fee in connection with maintenance of recognition, the matters to which the Secretary of State may have regard include, in particular, the costs of the Secretary of State in connection with any functions under sections 391D, 391E, 391J, 391K and 391N. (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3) The Secretary of State may by order require the payment of fees in respect of— (a) the operation of the Insolvency Services Account; (b) payments into and out of that Account. (4) The following provisions of section 414 apply to fees under this section as they apply to fees under that section— (a) subsection (3) (manner of payment), (b) subsection (5) (additional provision), (c) subsection (6) (statutory instrument), (d) subsection (7) (payment into Consolidated Fund), and (e) subsection (9) (saving for rules of court). (5) Section 391M applies for the purposes of an order under subsection (1)(b) as it applies for the purposes of a revocation order made under section 391L.

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415B Monetary limits (company moratorium)

(1) The Secretary of State may by regulations increase or reduce any of the money sums for the time being specified in the following provisions of Part A1— (a) section A25(1) (maximum amount of credit which company may obtain without disclosing moratorium); (b) section A28(2) (maximum amount for certain payments without obtaining monitor consent etc); (c) section A46(2) (minimum value of company property concealed or fraudulently removed, affecting criminal liability of company’s officer). (2) Regulations under this section may contain such transitional provisions as may appear to the Secretary of State necessary or expedient. (3) Regulations under this section are to be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

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416 Monetary limits (companies winding up).

(1) The Secretary of State may by order in a statutory instrument increase or reduce any of the money sums for the time being specified in the following provisions in the first Group of Parts— section 117(2) (amount of company’s share capital determining whether county court has jurisdiction to wind it up); section 120(3) (the equivalent as respects sheriff court jurisdiction in Scotland); section 123(1)(a) (minimum debt for service of demand on company by unpaid creditor); section 184(3) (minimum value of judgment, affecting sheriff’s duties on levying execution); section 206(1)(a) and (b) (minimum value of company property concealed or fraudulently removed, affecting criminal liability of company’s officer). (2) An order under this section may contain such transitional provisions as may appear to the Secretary of State necessary or expedient. (3) No order under this section increasing or reducing any of the money sums for the time being specified in section 117(2), 120(3) or 123(1)(a) shall be made unless a draft of the order has been laid before and approved by a resolution of each House of Parliament. (4) A statutory instrument containing an order under this section, other than an order to which subsection (3) applies, is subject to annulment in pursuance of a resolution of either House of Parliament.

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417 Money sum in s. 222.

The Secretary of State may by regulations in a statutory instrument increase or reduce the money sum for the time being specified in section 222(1) (minimum debt for service of demand on unregistered company by unpaid creditor); but such regulations shall not be made unless a draft of the statutory instrument containing them has been approved by resolution of each House of Parliament.

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417A Money sums (company moratorium).

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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418 Monetary limits (bankruptcy).

(1) The Secretary of State may by order prescribe amounts for the purposes of the following provisions in the second Group of Parts— section 251S(4) (maximum amount of credit which a person in respect of whom a debt relief order is made may obtain without disclosure of his status); section 273 (minimum value of debtor’s estate determining whether immediate bankruptcy order should be made; small bankruptcies level); section 313A (value of property below which application for sale, possession or charge to be dismissed); section 346(3) (minimum amount of judgment, determining whether amount recovered on sale of debtor’s goods is to be treated as part of his estate in bankruptcy); section 354(1) and (2) (minimum amount of concealed debt, or value or property concealed or removed, determining criminal liability under the section); section 358 (minimum value of property taken by a bankrupt out of England and Wales, determining his criminal liability); section 360(1) (maximum amount of credit which bankrupt may obtain without disclosure of his status); section 361(2) (exemption of bankrupt from criminal liability for failure to keep proper accounts, if unsecured debts not more than the prescribed minimum); section 364(2)(d) (minimum value of goods removed by the bankrupt, determining his liability to arrest); paragraphs 6 to 8 of Schedule 4ZA (maximum amount of a person's debts, monthly surplus income and property for purposes of obtaining a debt relief order); and references in the second Group of Parts to the amount prescribed for the purposes of any of those provisions, and references in those provisions to the prescribed amount, are to be construed accordingly. (2) An order under this section may contain such transitional provisions as may appear to the Secretary of State necessary or expedient. (3) An order under this section shall be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

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419 Regulations for purposes of Part XIII.

(1) The Secretary of State may make regulations for the purpose of giving effect to Part XIII of this Act; and “prescribed” in that Part means prescribed by regulations made by the Secretary of State. (2) Without prejudice to the generality of subsection (1) or to any provision of that Part by virtue of which regulations may be made with respect to any matter, regulations under this section may contain— (a) provision as to the matters to be taken into account in determining whether a person is a fit and proper person to act as an insolvency practitioner; (b) provision prohibiting a person from so acting in prescribed cases, being cases in which a conflict of interest will or may arise; (c) provision imposing requirments with respect to— (i) the preparation and keeping by a person who acts as an insolvency practitioner of prescribed books, accounts and other records, and (ii) the production of those books, accounts and records to prescribed persons; (d) provision conferring power on prescribed persons— (i) to require any person who acts or has acted as an insolvency practitioner to answer any inquiry in relation to a case in which he is so acting or has so acted, and (ii) to apply to a court to examine such a person or any other person on oath concerning such a case; (e) provision making non-co(mpliance with any of the regulations a criminal offence; and (f) such incidental, supplemental and transitional provisions as may appear to the Secretary of State necessary or expedient. (3) Any power conferred by Part XIII of this Part to make regulations, rules or orders is exercisable by statutory instrument subject to annulment by resolution of either House of Parliament. (4) Any rule or regulation under Part XIII or this Part may make different provision with respect to different cases or descriptions of cases, including different provision for different areas. (5) In making regulations under this section, the Secretary of State must have regard to the regulatory objectives (as defined by section 391C(3)).

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420 Insolvent partnerships.

(1) The Lord Chancellor may, by order made with the concurrence of the Secretary of State and the Lord Chief Justice, provide that such provisions of this Act as may be specified in the order shall apply in relation to insolvent partnerships with such modifications as may be so specified. (1A) An order under this section may make provision in relation to the EU Regulation . (1B) But provision made by virtue of this section in relation to the EU Regulation may not create a new relevant offence. (2) An order under this section may make different provision for different cases and may contain such incidental, supplemental and transitional provisions as may appear to the Lord Chancellor and the Lord Chief Justice necessary or expedient. (3) An order under this section shall be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament. (4) The Lord Chief Justice may nominate a judicial office holder (as defined in section 109(4) of the Constitutional Reform Act 2005) to exercise his functions under this section.

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421 Insolvent estates of deceased persons.

(1) The Lord Chancellor may, by order made with the concurrence of the Secretary of State and the Lord Chief Justice, provide that such provisions of this Act as may be specified in the order shall apply in relation to the administration of the insolvent estates of deceased persons with such modifications as may be so specified. (1A) An order under this section may make provision in relation to the EU Regulation . (1B) But provision made by virtue of this section in relation to the EU Regulation may not create a new relevant offence. (2) An order under this section may make different provision for different cases and may contain such incidental, supplemental and transitional provisions as may appear to the Lord Chancellor and the Lord Chief Justice necessary or expedient. (3) An order under this section shall be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament. (4) For the purposes of this section the estate of a deceased person is insolvent if, when realised, it will be insufficient to meet in full all the debts and other liabilities to which it is subject. (5) The Lord Chief Justice may nominate a judicial office holder (as defined in section 109(4) of the Constitutional Reform Act 2005) to exercise his functions under this section.

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421A Insolvent estates: joint tenancies.

(1) This section applies where— (a) an insolvency administration order has been made in respect of the insolvent estate of a deceased person, (b) the petition for the order was presented after the commencement of this section and within the period of five years beginning with the day on which he died, and (c) immediately before his death he was beneficially entitled to an interest in any property as joint tenant. (2) For the purpose of securing that debts and other liabilities to which the estate is subject are met, the court may, on an application by the trustee appointed pursuant to the insolvency administration order, make an order under this section requiring the survivor to pay to the trustee an amount not exceeding the value lost to the estate. (3) In determining whether to make an order under this section, and the terms of such an order, the court must have regard to all the circumstances of the case, including the interests of the deceased’s creditors and of the survivor; but, unless the circumstances are exceptional, the court must assume that the interests of the deceased’s creditors outweigh all other considerations. (4) The order may be made on such terms and conditions as the court thinks fit. (5) Any sums required to be paid to the trustee in accordance with an order under this section shall be comprised in the estate. (6) The modifications of this Act which may be made by an order under section 421 include any modifications which are necessary or expedient in consequence of this section. (7) In this section, “survivor” means the person who, immediately before the death, was beneficially entitled as joint tenant with the deceased or, if the person who was so entitled dies after the making of the insolvency administration order, his personal representatives. (8) If there is more than one survivor— (a) an order under this section may be made against all or any of them, but (b) no survivor shall be required to pay more than so much of the value lost to the estate as is properly attributable to him. (9) In this section— “insolvency administration order” has the same meaning as in any order under section 421 having effect for the time being, “value lost to the estate” means the amount which, if paid to the trustee, would in the court’s opinion restore the position to what it would have been if the deceased had been made bankrupt immediately before his death.

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422 Formerly authorised banks.

(1) The Secretary of State may by order made with the concurrence of the Treasury and after consultation with the Financial Conduct Authority and the Prudential Regulation Authority provide that specified provisions in the first Group of Parts shall apply with specified modifications in relation to any person who— (a) has a liability in respect of a deposit which he accepted in accordance with the Banking Act 1979 (c. 37) or 1987 (c. 22), but (b) does not have permission under Part 4A of the Financial Services and Markets Act 2000 (c. 8) (regulated activities) to accept deposits. (1A) Subsection (1)(b) shall be construed in accordance with— (a) section 22 of the Financial Services and Markets Act 2000 (classes of regulated activity and categories of investment), (b) any relevant order under that section, and (c) Schedule 2 to that Act (regulated activities). (1A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (2) An order under this section may make different provision for different cases and may contain such incidental, supplemental and transitional provisions as may appear to the Secretary of State necessary or expedient. (3) An order under this section shall be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

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422A Meaning of “relevant offence”

In this Part “relevant offence” means a criminal offence punishable with imprisonment for more than two years or punishable on summary conviction with imprisonment for more than three months or with a fine of more than level 5 on the standard scale (if not calculated on a daily basis) or with a fine of more than £100 a day.

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423 Transactions defrauding creditors.

(1) This section relates to transactions entered into at an undervalue; and a person enters into such a transaction with another person if— (a) he makes a gift to the other person or he otherwise enters into a transaction with the other on terms that provide for him to receive no consideration; (b) he enters into a transaction with the other in consideration of marriage or the formation of a civil partnership; or (c) he enters into a transaction with the other for a consideration the value of which, in money or money’s worth, is significantly less than the value, in money or money’s worth, of the consideration provided by himself. (2) Where a person has entered into such a transaction, the court may, if satisfied under the next subsection, make such order as it thinks fit for— (a) restoring the position to what it would have been if the transaction had not been entered into, and (b) protecting the interests of persons who are victims of the transaction. (3) In the case of a person entering into such a transaction, an order shall only be made if the court is satisfied that it was entered into by him for the purpose— (a) of putting assets beyond the reach of a person who is making, or may at some time make, a claim against him, or (b) of otherwise prejudicing the interests of such a person in relation to the claim which he is making or may make. (4) In this section “the court” means the High Court or— (a) if the person entering into the transaction is an individual, any other court which would have jurisdiction in relation to a bankruptcy petition relating to him; (b) if that person is a body capable of being wound up under Part IV or V of this Act, any other court having jurisdiction to wind it up. (5) In relation to a transaction at an undervalue, references here and below to a victim of the transaction are to a person who is, or is capable of being, prejudiced by it; and in the following two sections the person entering into the transaction is referred to as “the debtor”.

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424 Those who may apply for an order under s. 423.

(1) An application for an order under section 423 shall not be made in relation to a transaction except— (a) in a case where the debtor has been made bankrupt or is a body corporate which is being wound up or is in administration, by the official receiver, by the trustee of the bankrupt’s estate or the liquidator or adminstrator of the body corporate or (with the leave of the court) by a victim of the transaction; (b) in a case where a victim of the transaction is bound by a voluntary arrangement approved under Part I or Part VIII of this Act, by the supervisor of the voluntary arrangement or by any person who (whether or not so bound) is such a victim; or (c) in any other case, by a victim of the transaction. (2) An application made under any of the paragraphs of subsection (1) is to be treated as made on behalf of every victim of the transaction.

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425 Provision which may be made by order under s. 423.

(1) Without prejudice to the generality of section 423, an order made under that section with respect to a transaction may (subject as follows)— (a) require any property transferred as part of the transaction to be vested in any person, either absolutely or for the benefit of all the persons on whose behalf the application for the order is treated as made; (b) require any property to be so vested if it represents, in any person’s hands, the application either of the proceeds of sale of property so transferred or of the money so transferred; (c) release or discharge (in whole or in part) any security given by the debtor; (d) require any person to pay to any other person in respect of benefits received from the debtor such sums as the court may direct; (e) provide for any surety or guarantor whose obligations to any person were released or discharged (in whole or in part) under the transaction to be under such new or revived obligations as the court thinks appropriate; (f) provide for security to be provided for the discharge of any obligation imposed by or arising under the order, for such an obligation to be charged on any property and for such security or charge to have the same priority as a security or charge released or discharged (in whole or in part) under the transaction. (2) An order under section 423 may affect the property of, or impose any obligation on, any person whether or not he is the person with whom the debtor entered into the transaction; but such an order— (a) shall not prejudice any interest in property which was acquired from a person other than the debtor and was acquired in good faith, for value and without notice of the relevant circumstances, or prejudice any interest deriving from such an interest, and (b) shall not require a person who received a benefit from the transaction in good faith, for value and without notice of the relevant circumstances to pay any sum unless he was a party to the transaction. (3) For the purposes of this section the relevant circumstances in relation to a transaction are the circumstances by virtue of which an order under section 423 may be made in respect of the transaction. (4) In this section “security” means any mortgage, charge, lien or other security.

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426 Co-operation between courts exercising jurisdiction in relation to insolvency.

(1) An order made by a court in any part of the United Kingdom in the exercise of jurisdiction in relation to insolvency law shall be enforced in any other part of the United Kingdom as if it were made by a court exercising the corresponding jurisdiction in that other part. (2) However, without prejudice to the following provisions of this section, nothing in subsection (1) requires a court in any part of the United Kingdom to enforce, in relation to property situated in that part, any order made by a court in any other part of the United Kingdom. (3) The Secretary of State, with the concurrence in relation to property situated in England and Wales of the Lord Chancellor, may by order make provision for securing that a trustee or assignee under the insolvency law of any part of the United Kingdom has, with such modifications as may be specified in the order, the same rights in relation to any property situated in another part of the United Kingdom as he would have in the corresponding circumstances if he were a trustee or assignee under the insolvency law of that other part. (4) The courts having jurisdiction in relation to insolvency law in any part of the United Kingdom shall assist the courts having the corresponding jurisdiction in any other part of the United Kingdom or any relevant country or territory. (5) For the purposes of subsection (4) a request made to a court in any part of the United Kingdom by a court in any other part of the United Kingdom or in a relevant country or territory is authority for the court to which the request is made to apply, in relation to any matters specified in the request, the insolvency law which is applicable by either court in relation to comparable matters falling within its jurisdiction. In exercising its descretion under this subsection, a court shall have regard in particular to the rules of private international law. (6) Where a person who is a trustee or assignee under the insolvency law of any part of the United Kingdom claims property situated in any other part of the United Kingdom (whether by virtue of an order under subsection (3) or otherwise), the submission of that claim to the court exercising jurisdiction in relation to insolvency law in that other part shall be treated in the same manner as a request made by a court for the purpose of subsection (4). (7) Section 38 of the Criminal Law Act 1977 (execution of warrant of arrest throughout the United Kingdom) applies to a warrant which, in exercise of any jurisdiction in relation to insolvency law, is issued in any part of the United Kingdom for the arrest of a person as it applies to a warrant issued in that part of the United Kingdom for the arrest of a person charged with an offence. (8) Without prejudice to any power to make rules of court, any power to make provision by subordinate legislation for the purpose of giving effect in relation to companies or individuals to the insolvency law of any part of the United Kingdom includes power to make provision for the purpose of giving effect in that part to any provision made by or under the preceding provisions of this section. (9) An order under subsection (3) shall be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament. (10) In this section “insolvency law” means— (a) in relation to England and Wales, provision extending to England and Wales and made by or under this Act or sections 1A 6 to 10, 12 to 15, 19(c) and 20 (with Schedule 1) of the Company Directors Disqualification Act 1986 and sections 1 to 17 of that Act as they apply for the purposes of those provisions of that Act; (b) in relation to Scotland, provision extending to Scotland and made by or under this Act, sections 1A 6 to 10, 12 to 15, 19(c) and 20 (with Schedule 1) of the Company Directors Disqualification Act 1986 and sections 1 to 17 of that Act as they apply for the purposes of those provisions of that Act, Part XVIII of the Companies Act or the Bankruptcy (Scotland) Act 2016; (c) in relation to Northern Ireland, provision made by or under the Insolvency (Northern Ireland) Order 1989or the Company Directors Disqualification (Northern Ireland) Order 2002; (d) in relation to any relevant country or territory, so much of the law of that country or territory as corresponds to provisions falling within any of the foregoing paragraphs; and references in this subsection to any enactment include, in relation to any time before the coming into force of that enactment the corresponding enactment in force at that time. (11) In this section “relevant country or territory” means— (a) any of the Channel Islands or the Isle of Man, or (b) any country or territory designated for the purposes of this section by the Secretary of State by order made by statutory instrument. (12) In the application of this section to Northern Ireland— (a) for any reference to the Secretary of State there is substituted a reference to the Department of Economic Development in Northern Ireland; (b) in subsection (3) for the words “another part of the United Kingdom” and the words “that other part” there is substituted the words “Northern Ireland”; (c) for subsection (9) there is substituted the following subsection— (9) An order made under subsection (3) by the Department of Economic Development in Northern Ireland shall be a statutory rule for the purposes of the Statutory Rules (Northern Ireland) Order 1979 and shall be subject to negative resolution within the meaning of section 41(6) of the Interpretation Act (Northern Ireland) 1954. . (13) Section 129 of the Banking Act 2009 provides for provisions of that Act about bank insolvency to be “insolvency law” for the purposes of this section. (14) Section 165 of the Banking Act 2009 provides for provisions of that Act about bank administration to be “insolvency law” for the purposes of this section.

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426A Disqualification from Parliament (England and Wales and Northern Ireland)

(1) A person in respect of whom a bankruptcy restrictions order or a debt relief restrictions order has effect shall be disqualified— (a) from membership of the House of Commons, (b) from sitting or voting in the House of Lords, and (c) from sitting or voting in a committee of the House of Lords or a joint committee of both Houses. (2) If a member of the House of Commons becomes disqualified under this section, his seat shall be vacated. (3) If a person who is disqualified under this section is returned as a member of the House of Commons, his return shall be void. (4) No writ of summons shall be issued to a member of the House of Lords who is disqualified under this section. (5) If a court makes a bankruptcy restrictions order or interim order , or a debt relief restrictions order or an interim debt relief restrictions order, in respect of a member of the House of Commons or the House of Lords the court shall notify the Speaker of that House. (6) If the Secretary of State accepts a bankruptcy restrictions undertaking or a debt relief restrictions undertaking made by a member of the House of Commons or the House of Lords, the Secretary of State shall notify the Speaker of that House. (7) If the Department of Enterprise, Trade and Investment for Northern Ireland accepts a bankruptcy restrictions undertaking made by a member of the House of Commons or the House of Lords under Schedule 2A to the Insolvency (Northern Ireland) Order 1989, the Department shall notify the Speaker of that House. (8) In this section a reference to a bankruptcy restrictions order or an interim order includes a reference to a bankruptcy restrictions order or an interim order made under Schedule 2A to the Insolvency (Northern Ireland) Order 1989.

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426B Devolution

(1) If a court in England and Wales makes a bankruptcy restrictions order or interim order in respect of a member of the Scottish Parliament, the Northern Ireland Assembly or the National Assembly for Wales, or makes a debt relief restrictions order or interim debt relief restrictions order in respect of such a member, the court shall notify the presiding officer of that body. (1A) If the High Court in Northern Ireland makes a bankruptcy restrictions order or interim order under Schedule 2A to the Insolvency (Northern Ireland) Order 1989 in respect of a member of the Scottish Parliament or the National Assembly for Wales, the Court shall notify the presiding officer of that body. (2) If the Secretary of State accepts a bankruptcy restrictions undertaking or a debt relief restrictions undertaking made by a member of the Scottish Parliament, the Northern Ireland Assembly or the National Assembly for Wales, the Secretary of State shall notify the presiding officer of that body. (3) If the Department of Enterprise, Trade and Investment for Northern Ireland accepts a bankruptcy restrictions undertaking made by a member of the Scottish Parliament or the National Assembly for Wales under Schedule 2A to the Insolvency (Northern Ireland) Order 1989, the Department shall notify the presiding officer of that body.

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426C Irrelevance of privilege

(1) An enactment about insolvency applies in relation to a member of the House of Commons or the House of Lords irrespective of any Parliamentary privilege. (2) In this section “enactment” includes a provision made by or under— (a) an Act of the Scottish Parliament, or (b) Northern Ireland legislation.

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427 Disqualification from Parliament (Scotland ...)

(1) Where ... a court in Scotland awards sequestration of an individual’s estate, the individual is disqualified— (a) for sitting or voting in the House of Lords, (b) for being elected to, or sitting or voting in, the House of Commons, and (c) for sitting or voting in a committee of either House. (2) Where an individual is disqualified under this section, the disqualification ceases— (a) except where the award is recalled or reduced without the individual having been first discharged, on the discharge of the individual, and (b) in the excepted case, on the ... recall or reduction, as the case may be. (3) No writ of summons shall be issued to any lord of Parliament who is for the time being disqualified under this section for sitting and voting in the House of Lords. (4) Where a member of the House of Commons who is disqualified under this section continues to be so disqualified until the end of the period of 6 months beginning with the day of the ... award, his seat shall be vacated at the end of that period. (5) A court which makes an ... award such as is mentioned is subsection (1) in relation to any lord of Parliament or member of the House of Commons shall forthwith certify the ... award to the Speaker of the House of Lords or, as the case may be, to the Speaker of the House of Commons. (6) Where a court has certified an ... award to the Speaker of the House of Commons under subsection (5), then immediately after it becomes apparent which of the following certificates is applicable, the court shall certify to the Speaker of the House of Commons— (a) that the period of 6 months beginning with the day of the ... award has expired without the ... award having been ..., recalled or reduced, or (b) that the ... award has been ..., recalled or reduced before the end of that period. (6A) Subsections (4) to (6) have effect in relation to a member of the Scottish Parliament but as if— (a) references to the House of Commons were to the Parliament and references to the Speaker were to the Presiding Officer, and (b) in subsection (4), for “under this section” there were substituted “under section 15(1)(b) of the Scotland Act 1998 by virtue of this section”. (6B) Subsections (4) to (6) have effect in relation to a member of the National Assembly for Wales but as if— (a) references to the House of Commons were to the Assembly and references to the Speaker were to the presiding officer, and (b) in subsection (4), for “under this section” there were substituted “under section 16(A1)(a) of the Government of Wales Act 2006 and paragraph 4 of Schedule 1A to that Act”. (6C) Subsections (4) to (6) have effect in relation to a member of the Northern Ireland Assembly but as if— (a) references to the House of Commons were to the Assembly and references to the Speaker were to the Presiding Officer; and (b) in subsection (4), for “under this section” there were substituted “ under section 36(4) of the Northern Ireland Act 1998 by virtue of this section ”. (7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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428 Exemptions from Restrictive Trade Practices Act.

(1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3) In this section “insolvency services” means the services of persons acting as insolvency practitioners or carrying out under the law of Northern Ireland functions corresponding to those mentioned in section 388(1) or (2) in Part XIII, in their capacity as such . . ..

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429 Disabilities on revocation of administration order against an individual.

(1) The following applies where a person fails to make any payment which he is required to make by virtue of an administration order under Part VI of the County Courts Act 1984. (2) The court which is administering that person’s estate under the order may, if it thinks fit— (a) revoke the administration order, and (b) make an order directing that this section and section 12 of the Company Directors Disqualification Act 1986 shall apply to the person for such period, not exceeding one year, as may be specified in the order. (3) A person to whom this section so applies shall not— (a) either alone or jointly with another person, obtain credit to the extent of the amount prescribed for the purposes of section 360(1)(a) or more, or (b) enter into any transaction in the course of or for the purposes of any business in which he is directly or indirectly engaged, without disclosing to the person from whom he obtains the credit, or (as the case may be) with whom the transaction is entered into, the fact that this section applies to him. (4) The reference in subsection (3) to a person obtaining credit includes— (a) a case where goods are bailed or hired to him under a hire-purchase agreement or agreed to be sold to him under a conditional sale agreement, and (b) a case where he is paid in advance (whether in money or otherwise) for the supply of goods or services. (5) A person who contravenes this section is guilty of an offence and liable to imprisonment or a fine, or both.

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430 Provision introducing Schedule of punishments.

(1) Schedule 10 to this Act has effect with respect to the way in which offences under this Act are punishable on conviction. (2) In relation to an offence under a provision of this Act specified in the first column of the Schedule (the general nature of the offence being described in the second column), the third column shows whether the offence is punishable on conviction on indictment, or on summary conviction, or either in the one way or the other. (3) The fourth column of the Schedule shows, in relation to an offence, the maximum punishment by way of fine or imprisonment under this Act which may be imposed on a person convicted of the offence in the way specified in relation to it in the third column (that is to say, on indictment or summarily) a reference to a period of years or months being to a term of imprisonment of that duration. (4) The fifth column shows (in relation to an offence for which there is an entry in that column) that a person convicted of the offence after continued contravention is liable to a daily default fine; that is to say, he is liable on a second or subsquent conviction of the offence to the fine specified in that column for each day on which the contravention is continued (instead of the penalty specified for the offence in the fourth column of the Scheudule). (4A) In relation to an offence committed before 2 May 2022, a reference in Schedule 10 to 12 months on summary conviction in England and Wales is to be read as a reference to 6 months. (5) For the purpose of any enactment in this Act whereby an officer of a company who is in default is liable to a fine or penalty, the expression “officer who is in default” means any officer of the company who knowingly and wilfully authorises or permits the default, refusal or contravention mentioned in the enactment.

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431 Summary proceedings.

(1) Summary proceedings for any offence under any of Parts A1 to VII of this Act may (without prejudice to any jurisdiction exercisable apart from this subsection) be taken against a body corporate at any place at which the body has a place of business, and against any other person at any place at which he is for the time being. (2) Notwithstanding anything in section 127(1) of the Magistrates’ Courts Act 1980, an information relating to such an offence which is triable by a magistrates’ court in England and Wales may be so tried if it is laid at any time within 3 years after the commission of the offence and within 12 months after the date on which evidence sufficient in the opinion of the Director of Public Prosecutions or the Secretary of State (as the case may be) to justify the proceedings comes to his knowledge. (3) Summary proceedings in Scotland for such an offence shall not be commenced after the expiration of 3 years from the commission of the offence. Subject to this (and notwithstanding anything in section 136 of the Criminal Procdure (Scotland) Act 1995), such proceedings may (in Scotland) be commenced at any time within 12 months after the date on which evidence sufficient in the Lord Advocate’s opinion to justify the proceedings came to his knowledge or, where such evidence was reported to him by the Secretary of State, within 12 months after the date on which it came to the knowledge of the latter; and subsection (3) of that section applies for the purpose of this subsection as it applies for the purpose of that section. (4) For purposes of this section, a certificate of the Director of Public Prosecutions, the Lord Advocate or the Secretary of State (as the case may be) as to the date on which such evidence as is referred to above came to his knowledge is conclusive evidence.

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432 Offences by bodies corporate.

(1) This section applies to offences under this Act other than those excepted by subsection (4). (2) Where a body corporate is guilty of an offence to which this section applies and the offence is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, any director, manager, secretary or other similar officer of the body corporate or any person who was purporting to act in any such capacity he, as well as the body corporate, is guilty of the offence and liable to be proceeded against and punished accordingly. (3) Where the affairs of a body corporate are managed by its members, subsection (2) applies in relation to the acts and defaults of a member in connection with his functions of management as if he were a director of the body corporate. (4) The offences excepted from this section are those under sections A19(5), A25(3), A26(4), A27(1), A28(5), A29(6), A30(2), A31(10), A32(4), 30, 39, 51, 53, 54, 62, 64, 66, 85, 89, 164, 188, 201, 206, 207, 208, 209, 210 and 211 ....

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433 Admissibility in evidence of statements of affairs, etc.

(1) In any proceedings (whether or not under this Act)— (a) a statement of affairs prepared for the purposes of any provision of this Act which is derived from the Insolvency Act 1985, (aa) a statement made in pursuance of a requirement imposed by or under Part 2 of the Banking Act 2009 (bank insolvency), (ab) a statement made in pursuance of a requirement imposed by or under Part 3 of that Act (bank administration), and (b) any other statement made in pursuance of a requirement imposed by or under any such provision or by or under rules made under this Act, may be used in evidence against any person making or concurring in making the statement. (2) However, in criminal proceedings in which any such person is charged with an offence to which this subsection applies— (a) no evidence relating to the statement may be adduced, and (b) no question relating to it may be asked, by or on behalf of the prosecution, unless evidence relating to it is adduced, or a question relating to it is asked, in the proceedings by or on behalf of that person. (3) Subsection (2) applies to any offence other than— (a) an offence under section 22(6), 47(6), 48(8), 66(6), 67(8), 95(8), ... 99(3), 131(7), 192(2), 208(1)(a) or (d) or (2), 210, 235(5), 353(1), 354(1)(b) or (3) or 356(1) or (2)(a) or (b) or paragraph 4(3)(a) of Schedule 7; (b) an offence which is— (i) created by rules made under this Act, and (ii) designated for the purposes of this subsection by such rules or by regulations made by the Secretary of State; (c) an offence which is— (i) created by regulations made under any such rules, and (ii) designated for the purposes of this subsection by such regulations; (d) an offence under section 1, 2 or 5 of the Perjury Act 1911 (false statements made on oath or made otherwise than on oath); or (e) an offence under section 44(1) or (2) of the Criminal Law (Consolidation) (Scotland) Act 1995 (false statements made on oath or otherwise than on oath). (4) Regulations under subsection (3)(b)(ii) shall be made by statutory instrument and, after being made, shall be laid before each House of Parliament.

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434 Crown application.

For the avoidance of doubt it is hereby declared that provisions of this Act which derive from the Insolvency Act 1985 and Part A1 and sections 233A and 233B and Schedule 4ZZA bind the Crown so far as affecting or relating to the following matters, namely— (a) remedies against, or against the property of, companies or individuals; (b) priorities of debts; (c) transactions at an undervalue or preferences; (d) voluntary arrangements approved under Part I or Part VIII, and (e) discharge from bankruptcy.

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434A Introductory

The provisions of this Part have effect for the purposes of— (a) the First Group of Parts, and (b) sections 411, 413, 414, 416 and 417 in Part 15.

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434B Representation of corporations in decision procedures and at meetings

(1) If a corporation is a creditor or debenture-holder, it may by resolution of its directors or other governing body authorise a person or persons to act as its representative or representatives— (a) in a qualifying decision procedure, held in pursuance of this Act or of rules made under it, by which a decision is sought from the creditors of a company, or (b) at any meeting of a company held in pursuance of the provisions contained in a debenture or trust deed. (2) Where the corporation authorises only one person, that person is entitled to exercise the same powers on behalf of the corporation as the corporation could exercise if it were an individual creditor or debenture-holder. (3) Where the corporation authorises more than one person, any one of them is entitled to exercise the same powers on behalf of the corporation as the corporation could exercise if it were an individual creditor or debenture-holder. (4) Where the corporation authorises more than one person and more than one of them purport to exercise a power under subsection (3)— (a) if they purport to exercise the power in the same way, the power is treated as exercised in that way; (b) if they do not purport to exercise the power in the same way, the power is treated as not exercised.

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434C Legal professional privilege

In proceedings against a person for an offence under this Act nothing in this Act is to be taken to require any person to disclose any information that he is entitled to refuse to disclose on grounds of legal professional privilege (in Scotland, confidentiality of communications).

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434D Enforcement of company's filing obligations

(1) This section applies where a company has made default in complying with any obligation under this Act— (a) to deliver a document to the registrar, or (b) to give notice to the registrar of any matter. (2) The registrar, or any member or creditor of the company, may give notice to the company requiring it to comply with the obligation. (3) If the company fails to make good the default within 14 days after service of the notice, the registrar, or any member or creditor of the company, may apply to the court for an order directing the company, and any specified officer of it, to make good the default within a specified time. (4) The court's order may provide that all costs (in Scotland, expenses) of or incidental to the application are to be borne by the company or by any officers of it responsible for the default. (5) This section does not affect the operation of any enactment imposing penalties on a company or its officers in respect of any such default.

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434E Application of filing obligations to overseas companies

The provisions of this Act requiring documents to be forwarded or delivered to, or filed with, the registrar of companies apply in relation to an overseas company that is required to register particulars under section 1046 of the Companies Act 2006 as they apply in relation to a company registered under that Act in England and Wales or Scotland.

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435 Meaning of “associate”.

(1) For the purposes of this Act any question whether a person is an associate of another person is to be determined in accordance with the following provisions of this section (any provision that a person is an associate of another person being taken to mean that they are associates of each other). (2) A person is an associate of an individual if that person is— (a) the individual’s husband or wife or civil partner, (b) a relative of— (i) the individual, or (ii) the individual’s husband or wife or civil partner, or (c) the husband or wife or civil partner of a relative of— (i) the individual, or (ii) the individual’s husband or wife or civil partner. (3) A person is an associate of any person with whom he is in partnership, and of the husband or wife or civil partner or a relative of any individual with whom he is in partnership; and a Scottish firm is an associate of any person who is a member of the firm. (4) A person is an associate of any person whom he employs or by whom he is employed. (5) A person in his capacity as trustee of a trust other than— (a) a trust arising under any of the second Group of Parts or the Bankruptcy (Scotland) Act 2016, or (b) a pension scheme or an employees’ share scheme . . . , is an associate of another person if the beneficiaries of the trust include, or the terms of the trust confer a power that may be exercised for the benefit of, that other person or an associate of that other person. (6) A company is an associate of another company— (a) if the same person has control of both, or a person has control of one and persons who are his associates, or he and persons who are his associates, have control of the other, or (b) if a group of two or more persons has control of each company, and the groups either consist of the same persons or could be regarded as consisting of the same persons by treating (in one or more cases) a member of either group as replaced by a person of whom he is an associate. (7) A company is an associate of another person if that person has control of it or if that person and persons who are his associates together have control of it. (8) For the purposes of this section a person is a relative of an individual if he is that individual’s brother, sister, uncle, aunt, nephew, niece, lineal ancestor or lineal descendant, treating— (a) any relationship of the half blood as a relationship of the whole blood and the stepchild or adopted child of any person as his child, and (b) an illegitimate child as the legitimate child of his mother and reputed father; and references in this section to a husband or wife include a former husband or wife and a reputed husband or wife and references to a civil partner include a former civil partnerand a reputed civil partner. (9) For the purposes of this section any director or other officer of a company is to be treated as employed by that company. (10) For the purposes of this section a person is to be taken as having control of a company if— (a) the directors of the company or of another company which has control of it (or any of them) are accustomed to act in accordance with his directions or instructions, or (b) he is entitled to exercise, or control the exercise of, one third or more of the voting power at any general meeting of the company of or another company which has control of it; and where two or more persons together satisfy either of the above conditions, they are to be taken as having control of the company. (11) In this section “company” includes any body corporate (whether incorporated in Great Britain or elsewhere); and references to directors and other officers of a company and to voting power at any general meeting of a company have effect with any necessary modifications.

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436 Expressions used generally.

(1) In this Act, except in so far as the context otherwise requires (and subject to Parts VII and XI)— “agricultural charge” has the same meaning as in the Agricultural Credits Act 1928; “agricultural receiver” means a receiver appointed under an agricultural charge; “the appointed day” means the day of which this Act comes into force under section 443; “associate” has the meaning given by section 435; “body corporate” includes a body incorporated outside Great Britain, but does not include— a corporation sole, or a partnership that, whether or not a legal person, is not regarded as a body corporate under the law by which it is governed; “business” includes a trade or profession; “the Companies Act” means the Companies Act 1985; “the Companies Acts” means the Companies Acts (as defined in section 2 of the Companies Act 2006) as they have effect in Great Britain; “conditional sale agreement” and “hire-purchase agreement” have the same meanings as in the Consumer Credit Act 1974; “corporate member” means an insolvent member which is a company; “the court”, in relation to an insolvent partnership, means the court which has jurisdiction to wind up the partnership; “distress” includes use of the procedure in Schedule 12 to the Tribunals, Courts and Enforcement Act 2007, and references to levying distress, seizing goods and related expressions shall be construed accordingly; ... “ the EU Regulation ” means Regulation (EU) 2015/848 of the European Parliament and of the Council of 20 May 2015 on insolvency proceedings as it forms part of domestic law on and after exit day; “EEA State” means a state that is a Contracting Party to the Agreement on the European Economic Area signed at Oporto on 2nd May 1992 as adjusted by the Protocol signed at Brussels on 17th March 1993; “employees' share scheme” means a scheme for encouraging or facilitating the holding of shares in or debentures of a company by or for the benefit of— the bona fide employees or former employees of— the company, any subsidiary of the company, or the company's holding company or any subsidiary of the company's holding company, or the spouses, civil partners, surviving spouses, surviving civil partners, or minor children or step-children of such employees or former employees. “individual member” means an insolvent member who is an individual; “insolvency order” means— in the case of an insolvent partnership or a corporate member, a winding-up order; and in the case of an individual member, a bankruptcy order; “insolvency petition” means, in the case of a petition presented to the court— against a corporate member, a petition for its winding up by the court; against an individual member, a petition for a bankruptcy order to be made against that individual, where the petition is presented in conjunction with a petition for the winding up of the partnership by the court as an unregistered company under the Act; “insolvency proceedings” means any proceedings under the Act, this Order or the Insolvency Rules 1986 “insolvent member” means a member of an insolvent partnership, against whom an insolvency petition is being or has been presented; “joint bankruptcy petition” means a petition by virtue of article 11 of this Order; “joint debt” means a debt of an insolvent partnership in respect of which an order is made by virtue of Part IV or V of this Order; “joint estate” means the partnership property of an insolvent partnership in respect of which an order is made by virtue of Part IV or V of this Order; “joint expenses” means expenses incurred in the winding up of an insolvent partnership or in the winding up of the business of an insolvent partnership and the administration of its property; “limited partner” has the same meaning as in the Limited Partnerships Act 1907; “member” means a member of a partnership and any person who is liable as a partner within the meaning of section 14 of the Partnership Act 1890; “modifications” includes additions, alterations and omissions and cognate expressions shall be construed accordingly; “officer”, in relation to an insolvent partnership, means— a member; or a person who has management or control of the partnership business; “partnership property” has the same meaning as in the Partnership Act 1890; “postponed debt” means a debt the payment of which is postponed by or under any provision of the Act or of any other enactment; “property” includes money, goods, things in action, land and every description of property wherever situated and also obligations and every description of interest, whether present or future or vested or contingent, arising out of, or incidental to, property; “records” includes computer records and other non-documentary records; “responsible insolvency practitioner” means— in winding up, the liquidator of an insolvent partnership or corporate member; and in bankruptcy, the trustee of the estate of an individual member, and in either case includes the official receiver when so acting; “separate debt” means a debt for which a member of a partnership is liable, other than a joint debt; “separate estate” means the property of an insolvent member against whom an insolvency order has been made; “separate expenses” means expenses incurred in the winding up of a corporate member, or in the bankruptcy of an individual member; and “subordinate legislation” has the same meaning as in the Interpretation Act 1978; and “transaction” includes a gift, agreement or arrangement, and references to entering into a transaction shall be construed accordingly. “trustee of the partnership” means a person authorised by order made by virtue of article 11 of this Order to wind up the business of an insolvent partnership and to administer its property. (2) The following expressions have the same meaning in this Act as in the Companies Acts— “articles”, in relation to a company (see section 18 of the Companies Act 2006); “debenture” (see section 738 of that Act); “holding company” (see sections 1159 and 1160 of, and Schedule 6 to, that Act); “the Joint Stock Companies Acts” (see section 1171 of that Act); “overseas company” (see section 1044 of that Act); “paid up” (see section 583 of that Act); “private company” and “public company” (see section 4 of that Act); “registrar of companies” (see section 1060 of that Act); “share” (see section 540 of that Act); “subsidiary” (see sections 1159 and 1160 of, and Schedule 6 to, that Act).

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436A Proceedings under EU Regulations: modified definition of property

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436B References to things in writing

(1) A reference in this Act to a thing in writing includes that thing in electronic form. (2) Subsection (1) does not apply to the following provisions— (a) section 53 (mode of appointment by holder of charge), (b) section 67(2) (report by receiver), (c) section 70(4) (reference to instrument creating a charge), (d) section 111(2) (dissent from arrangement under s. 110), (e) in the case of a winding up of a company registered in Scotland, section 111(4), (f) section 123(1) (definition of inability to pay debts), (g) section 198(3) (duties of sheriff principal as regards examination), (h) section 222(1) (inability to pay debts: unpaid creditor for £750 or more), and (i) section 223 (inability to pay debts: debt remaining unsatisfied after action brought).

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437 Transitional provisions, and savings.

The transitional provisions and savings set out in Schedule 11 to this Act shall have effect, the Schedule comprising the following Parts— Part I: company insolvency and winding up (matters arising before appointed day, and continuance of proceedings in certain cases as before that day); Part II: individual insolvency (matters so arising, and continuance of bankruptcy proceedings in certain cases as before that day); Part III: transactions entered into before the appointed day and capable of being affected by orders of the court under Part XVI of this Act; Part IV: insolvency practitioners acting as such before the appointed day; and Part V: general transitional provisions and savings required consequentially on, and in connection with, the repeal and replacement by this Act and the Company Directors Disqualification Act 1986 of provisions of the Companies Act 1985, the greater part of the Insolvency Act 1985 and other enactments.

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438 Repeals.

The enactments specified in the second column of Schedule 12 to this Act are repealed to the extent specified in the third column of that Schedule.

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439 Amendment of enactments.

(1) The Companies Act is amended as shown in Parts I and II of Schedule 13 to this Act, being amendments consequential on this Act and the Company Directors Disqualification Act 1986. (2) The enactments specified in the first column of Schedule 14 to this Act (being enactments which refer, or otherwise relate, to those which are repealed and replaced by this Act or the Company Directors Diqualification Act 1986) are amended as shown in the second column of that Schedule. (3) The Lord Chancellor may by order make such consequential modifications of any provision contained in any subordinate legislation made before the appointed day and such transitional provisions in connection with those modifications as appear to him necessary or expedient in respect of— (a) any reference in that subordinate legislation to the Bankruptcy Act 1914; (b) any reference in that subordinate legislation to any enactment repealed by Part III or IV or Schedule 10 to the Insolvency Act 1985; or (c) any reference in that subordinate legislation to any matter provided for under the Act of 1914 or under any enactment so repealed. (4) An order under this section shall be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

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