SCHEDULES

C1SCHEDULE 4 Forfeiture Orders

Annotations:
Modifications etc. (not altering text)
C1

Sch. 4 applied (with modifications) by 1998 c. 40, s. 4(7)

Part IV Insolvency: United Kingdom Provisions

Protection of insolvency practitioners

33

1

In any case where—

a

an insolvency practitioner seizes or disposes of any property in relation to which his functions are not exercisable because it is for the time being subject to a forfeiture or restraint order, and

b

at the time of the seizure or disposal he believes and has reasonable grounds for believing that he is entitled (whether in pursuance of a court order or otherwise) to seize or dispose of that property,

he shall not be liable to any person in respect of any loss or damage resulting from the seizure or disposal except in so far as the loss or damage is caused by his negligence in so acting.

2

An insolvency practitioner shall have a lien on the property mentioned in sub-paragraph (1) above or the proceeds of its sale—

a

for such of his expenses as were incurred in connection with insolvency proceedings in relation to which the seizure or disposal purported to take place; and

b

for so much of his remuneration as may reasonably be assigned for his acting in connection with those proceedings.

3

Sub-paragraphs (1) and (2) above are without prejudice to the generality of any provision contained in the 1986 Act or the M1Bankruptcy (Scotland) Act 1985 or any other Act or the F2Insolvency (Northern Ireland) Order 1989.

4

In this paragraph “insolvency practitioner", in any part of the United Kingdom, means a person acting as an insolvency practitioner in that or any other part of the United Kingdom; and for this purpose—

a

any question whether a person is acting as an insolvency practitioner in England and Wales or in Scotland shall be determined in accordance with section 388 of the 1986 Act, except that—

i

the reference in subsection (2)(a) to a permanent or interim trustee in a sequestration shall be taken to include a reference to a trustee in sequestration;

ii

subsection (5) shall be disregarded; and

iii

the expression shall also include the Official Receiver acting as receiver or manager of property; and

F3b

any question whether a person is acting as an insolvency practitioner in Northern Ireland shall be determined in accordance with Article 3 of the Insolvency (Northern Ireland) Order 1989, except that—

i

paragraph (5) shall be disregarded; and

ii

the expression shall also include the official receiver acting as receiver or manager of property.