PART 10

Insolvency

Position of creditors

Ability for creditors to opt not to receive certain notices: individual insolvency
125
1
The Insolvency Act 1986 is amended as follows.
2
For the italic heading before section 379B substitute— “ Giving of notices etc by office-holders ”.
3
After section 379B insert—

Creditors' ability to opt out of receiving certain notices
379C
1
Any provision of the rules which requires an office-holder to give a notice to creditors of an individual does not apply, in circumstances prescribed by the rules, in relation to opted-out creditors.
2
Subsection (1)—
a
does not apply in relation to a notice of a distribution or proposed distribution to creditors;
b
is subject to any order of the court requiring a notice to be given to all creditors (or all creditors of a particular category).
3
Except as provided by the rules, a creditor may participate and vote in a creditors' decision procedure or a deemed consent procedure even though, by virtue of being an opted-out creditor, the creditor does not receive notice of it.
4
In this section—
- “give” includes deliver, furnish or send;
- “notice” includes any document or information in any other form;
- “office-holder”, in relation to an individual, means—
  1. where a bankruptcy order is made against the individual, the official receiver or the trustee in bankruptcy;
  2. where an interim receiver of the individual's property is appointed, the interim receiver;
  3. the supervisor of a voluntary arrangement approved under Part 8 in relation to the individual.
4
After section 383 insert—

“Opted-out creditor”
383A
1
For the purposes of this Group of Parts “opted-out creditor” in relation to an office-holder for an individual means a person who—
a
is a creditor of the individual, and
b
in accordance with the rules has elected (or is deemed to have elected) to be (and not to cease to be) an opted-out creditor in relation to the office-holder.
2
In this section, “office-holder”, in relation to an individual, means—
a
where a bankruptcy order is made against the individual, the official receiver or the trustee in bankruptcy;
b
where an interim receiver of the individual's property is appointed, the interim receiver;
c
the supervisor of a voluntary arrangement approved under Part 8 in relation to the individual.
5
In Schedule 9 (provisions capable of inclusion in individual insolvency rules), after paragraph 7 insert—
7F
Provision for enabling a creditor of an individual to elect to be, or to cease to be, an opted-out creditor in relation to an office-holder for the individual (within the meaning of section 383A), including, in particular, provision—
a
for requiring an office-holder to provide information to creditors about how they may elect to be, or cease to be, opted-out creditors;
b
for deeming an election to be, or cease to be, an opted-out creditor in relation to a particular office-holder for an individual to be such an election also in relation to any other office-holder for the individual.
S. 125 in force at 26.5.2015 for specified purposes by S.I. 2015/1329, reg. 3(d)
S. 125 in force at 6.4.2017 for E.W. in so far as not already in force by S.I. 2016/1020, reg. 4(d)