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Insolvency Act 1986

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Insolvency Act 1986, Cross Heading: Interpertation for Category 5 is up to date with all changes known to be in force on or before 19 March 2024. There are changes that may be brought into force at a future date. Changes that have been made appear in the content and are referenced with annotations. Help about Changes to Legislation

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Changes and effects yet to be applied to the whole Act associated Parts and Chapters:

  • Act amendment to earlier affecting provision S.I. 1986/1999, art. 3, Sch. 1 Pt. 2 by S.I. 2017/1119 Sch. 3 para. 1
  • Act savings and transitional provisions for amendments by S.I. 2022/1166 by S.I. 2022/1172 Regulations

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Interpertation for Category 5E+W+S

13(1)For the purposes of paragraphs 9 to 12, a sum is payable by the debtor to a person by way of remuneration in respect of any period if—E+W+S

(a)it is paid as wages or salary (whether payable for time or for piece work or earned wholly or partly by way of commission) in respect of services rendered to the debtor in that period, or

(b)it is an amount falling within the following sub-paragraph and is payable by the debtor in respect of that period.

[F1(2)An amount falls within this sub-paragraph if it is—

(a)a guarantee payment under Part III of the Employment Rights Act 1996 (employee without work to do);

(b)any payment for time off under section 53 (time off to look for work or arrange training) or section 56 (time off for ante-natal care) of that Act or under section 169 of the Trade Union and Labour Relations (Consolidation) Act 1992 (time off for carrying out trade union duties etc.);

(c)remuneration on suspension on medical grounds, or on maternity grounds, under Part VII of the Employment Rights Act 1996; or

(d)remuneration under a protective award under section 189 of the Trade Union and Labour Relations (Consolidation) Act 1992 (redundancy dismissal with compensation).]

Textual Amendments

F1Sch. 6 para. 13(2) substituted (22.8.1996) by 1996 c. 18, ss. 240, 243, Sch. 1 para. 29 (with ss. 191-195, 202)

14(1)This paragraph relates to a case in which a person’s employment has been terminated by or in consequence of his employer going into liquidation or being [F2adjudged] [F2made] bankrupt or (his employer being a company not in liquidation) by or in consequence of—E+W+S

(a)a receiver being appointed as mentioned in section 40 of this Act (debenture-holders secured by floating charge), or

(b)the appointment of a receiver under section 53(6) or 54(5) of this Act (Scottish company with property subject to floating charge), or

(c)the taking of possession by debenture-holders (so secured), as mentioned in [F3section 754 of the Companies Act 2006] .

(2)For the purposes of paragraphs 9 to 12, holiday remuneration is deemed to have accrued to that person in respect of any period of employment if, by virtue of his contract of employment or of any enactment that remuneration would have accrued in respect of that period if his employment had continued until he became entitled to be allowed the holiday.

(3)The reference in sub-paragraph (2) to any enactment includes an order or direction made under an enactment.

Textual Amendments

F2Word in Sch. 6 para. 14(1) substituted (E.W.) (6.4.2016) by Enterprise and Regulatory Reform Act 2013 (c. 24), s. 103(3), Sch. 19 para. 64; S.I. 2016/191, art. 2 (with art. 3)

15E+W+SWithout prejudice to paragraphs 13 and 14—

(a)any remuneration payable by the debtor to a person in respect of a period of holiday or of absence from work through sickness or other good cause is deemed to be wages or (as the case may be) salary in respect of services rendered to the debtor in that period F4...

F4(b). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F4Sch. 6 para. 15(b) and word omitted (26.5.2015) by virtue of Deregulation Act 2015 (c. 20), s. 115(3)(n), Sch. 6 para. 28

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