(This note is not part of the Rules)
These Rules make provision in England and Wales for the procedure for bringing applications for compensation orders and applications for the variation and revocation of compensation undertakings. The ability for the Secretary of State to apply for compensation orders to be made against, and to accept compensation undertakings from, disqualified directors under section 15A of the Company Directors Disqualification Act 1986 (c.46) was introduced by section 110 of the Small Business, Enterprise and Employment Act 2015 (c.26) as from 1st October 2015.
Rule 3 applies the alternative procedure for civil claims under Part 8 of the Civil Procedure Rules 1998 (S.I. 1998/3132) to applications for compensation orders and for variations and revocations of compensation undertakings under these Rules, subject to the modifications set out. It also applies provisions from the Insolvency Rules 1986 (S.I. 1986/1925) on appeals and reviews of court orders.
Rules 4 and 5 set out the modified form in which applications are to be made, and the evidence and information that must accompany them.
Rule 6 modifies the Part 8 procedure in relation to acknowledgments of service, making specific provision for what must be included in response to applications covered by these Rules.
Rule 7 provides a tailored regime for the filing and serving of evidence in these proceedings, and rule 8 for the hearing of applications. In the first instance, these applications must be heard by a registrar, and may be adjourned, including in order that they be determined by a judge.
Rule 9 states that a compensation order may be made against a defendant who has not taken part in the proceedings, but also gives the court discretion to vary or set aside an order made in the absence of the defendant.
A full regulatory impact assessment has not been produced for this instrument as no impact on the private or voluntary sectors is foreseen. An explanatory memorandum is published alongside this instrument at www.legislation.gov.uk.