Administration of Justice Act 1985

32 (1) Subject to sub-paragraph (2), where— E+W

(a) the [F1 Society is] satisfied that a recognised body [F2 or a manager of such a body] has failed to comply with any rules applicable to [F3 the body or manager] by virtue of section 9 of this Act; or

(b) a person has been appointed receiver or manager of property of a recognised body; or

[F4 (c) a relevant insolvency event occurs in relation to a recognised body; or]

(d) the [F5 Society has] reason to suspect dishonesty on the part of any [F6 manager] or employee of a recognised body in connection with

[F7 (i) that body's business,

(ii) any trust of which that body is or was a trustee,

(iii) any trust of which the manager or employee is or was a trustee in his capacity as such a manager or employee, or

(iv) the business of another body in which the manager or employee is or was a manager or employee or the practice (or former practice) of the manager or employee; or]

[F8 (da) the Society considers that there has been undue delay on the part of the personal representatives of a deceased solicitor who immediately before death was practising as the sole principal of a recognised body in connection with the recognised body’s business or in connection with any trust; or

(db) the Society is satisfied that a solicitor practising as the sole principal of a recognised body is incapacitated by illness, injury or accident to such an extent as to be unable to attend to the solicitor’s practice or to the recognised body’s business; or]

[F9 (e) the Society is satisfied that it is necessary to exercise the powers conferred by Part 2 of Schedule 1 to the 1974 Act (or any of them) in relation to a recognised body to protect—

(i) the interests of clients (or former or potential clients) of the recognised body,

(ii) the interests of the beneficiaries of any trust of which the recognised body is or was a trustee, or

(iii) the interests of the beneficiaries of any trust of which a person who is or was a manager or employee of the recognised body is or was a trustee in that person's capacity as such a manager or employee;]

the powers conferred by Part II of Schedule 1 to the 1975 Act shall be exercisable in relation to the recognised body and its business in like manner as they are exercisable in relation to a solicitor and his practice.

[F10 (1A) For the purposes of this paragraph a relevant insolvency event occurs in relation to a recognised body if—

(a) a resolution for a voluntary winding-up of the body is passed without a declaration of solvency under section 89 of the Insolvency Act 1986;

(b) the body enters administration within the meaning of paragraph 1(2)(b) of Schedule B1 to that Act;

(c) an administrative receiver within the meaning of section 251 of that Act is appointed;

(d) a meeting of creditors is held in relation to the body under section 95 of that Act (creditors' meeting which has the effect of converting a members' voluntary winding up into a creditors' voluntary winding up);

(e) an order for the winding up of the body is made.]

(2) F11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F1 Words in Sch. 2 para. 32(1)(a) substituted (31.3.2009) by Legal Services Act 2007 (c. 29), ss. 177, 211, Sch. 16 para. 119(2)(a) (with ss. 29, 192, 193); S.I. 2009/503, art. 2(b)(ii)

F2 Words in Sch. 2 para. 32(1)(a) inserted (31.3.2009) by Legal Services Act 2007 (c. 29), ss. 177, 211, Sch. 16 para. 119(2)(b) (with ss. 29, 192, 193); S.I. 2009/503, art. 2(b)(ii)

F3 Word in Sch. 2 para. 32(1)(a) substituted (31.3.2009) by Legal Services Act 2007 (c. 29), ss. 177, 211, Sch. 16 para. 119(2)(c) (with ss. 29, 192, 193); S.I. 2009/503, art. 2(b)(ii)

F4 Sch. 2 para. 32(1)(c) substituted (31.3.2009) by Legal Services Act 2007 (c. 29), ss. 177, 211, Sch. 16 para. 119(3) (with ss. 29, 192, 193); S.I. 2009/503, art. 2(b)(ii)

F5 Words in Sch. 2 para. 32(1)(d) substituted (31.3.2009) by Legal Services Act 2007 (c. 29), ss. 177, 211, Sch. 16 para. 119(4)(a) (with ss. 29, 192, 193); S.I. 2009/503, art. 2(b)(ii)

F6 Word in Sch. 2 para. 32(1)(d) substituted (31.3.2009) by Legal Services Act 2007 (c. 29), ss. 177, 211, Sch. 16 para. 119(4)(b) (with ss. 29, 192, 193); S.I. 2009/503, art. 2(b)(ii)

F7 Words in Sch. 2 para. 32(1)(d) substituted (31.3.2009) by Legal Services Act 2007 (c. 29), ss. 177, 211, Sch. 16 para. 119(4)(c) (with ss. 29, 192, 193); S.I. 2009/503, art. 2(b)(ii)

F8 Sch. 2 para. 32(1)(da), (db) inserted (1.11.2015) by The Legal Services Act 2007 (The Law Society) (Modification of Functions) Order 2015 (S.I. 2015/401), art. 1(3), Sch. 1 para. 20(14)(a)

F9 Sch. 2 para. 32(1)(e) inserted (31.3.2009) by Legal Services Act 2007 (c. 29), ss. 177, 211, Sch. 16 para. 119(5) (with ss. 29, 192, 193); S.I. 2009/503, art. 2(b)(ii)

F10 Sch. 2 para. 32(1A) inserted (31.3.2009) by Legal Services Act 2007 (c. 29), ss. 177, 211, Sch. 16 para. 119(6) (with ss. 29, 192, 193); S.I. 2009/503, art. 2(b)(ii)

F11 Sch. 2 para. 32(2) repealed (31.3.2009) by Legal Services Act 2007 (c. 29), ss. 177, 210, 211, Sch. 16 para. 119(7), Sch. 23 (with ss. 29, 192, 193); S.I. 2009/503, art. 2(b)(ii)(f)(v)(bb)

Commencement Information

I1 Sch. 2 para. 32 wholly in force at 1.1.1992 see s. 69(2) and S.I. 1991/2683, art. 2