Companies Act 1985

[F1 Joint ventures]E+W+S

Textual Amendments

F1Sch. 4A inserted (subject to the transitional and saving provisions in S.I. 1990/355, arts. 6–9) by Companies Act 1989 (c. 40, SIF 27), ss. 5(2), 213(2), Sch. 2

19(1)Where an undertaking included in the consolidation manages another undertaking jointly with one or more undertakings not included in the consolidation, that other undertaking (''the joint venture’’) may, if it is not—

(a)a body corporate, or

(b)a subsidiary undertaking of the parent company,

be dealt with in the group accounts by the method of proportional consolidation.

(2)The provisions of [F2this Schedule] relating to the preparation of consolidated accounts apply, with any necessary modifications, to proportional consolidation under this paragraph.

Textual Amendments

F2Words in Sch. 4A para. 19(2) substituted (1.3.1997) by S.I. 1997/220, reg. 7(10)(b)