C1C2C3C4C5F1Part II Administration Orders
Pt. I (ss. 1-7), Pt. II (ss. 8-27) modified by Company Directors Disqualification Act 1986 (c. 46, SIF 27), ss. 21(2), 25
Pt. II (ss. 8-27) modified (15.7.2003) by 1999 c. 29, ss. 223(5)(6), 224(5), 425(2) (with Sch. 12 para. 9(1)); S.I. 2003/1920, art. 2(b)
Pts. I-VII (ss. 1-251) applied (with modifications) by S.I. 1989/1276, arts. 2, 3 (as amended (3.7.2002) by S.I. 2002/1555, art. 34)
Pt. II (ss. 8-27) applied (with modifications) by S.I. 1989/1276, arts. 2, 3 (as amended (1.12.2001) by S.I. 2001/3649, arts. 1, 398)
Pt. II (ss. 8-27) applied (with modifications) (1.12.1997) by 1986 c. 53, Sch. 15A (as inserted by 1997 c. 32, s. 39(2), Sch. 6 para. 1(2)(a); S.I. 1997/2668, art. 2, Sch. Pt. I(i)
Pt. II (ss. 8-27) applied (with modifications) (31.5.2002) by S.I. 2002/1242, art. 3, Sch.
Pts. 1-4, 6, 7 applied to limited liability partnerships (with modifications) (E.W.S.) (6.4.2001) by S.I. 2001/1090, reg. 5, Schs. 3, 4
Pt. II (ss. 8-27) restricted (E.W.) by Water Act 1989 (c. 15, SIF 130), s. 24(b) (with ss. 58(7), 101(1), 141(6), 160(1)(2)(4), 163, 189(4)-(10), 190, 193(1), Sch. 26 paras. 3(1)(2), 17, 40(4), 57(6), 58)
Pt. II (ss. 8-27) restricted (1.4.1994) by 1993 c. 43, ss. 62(5), 150(1)(c); S.I. 1994/571, art. 5 (with transitional provision in art. 7)
Pt. II (ss. 8-27) power to apply or incorporate conferred (6.4.2001) by 2000 c. 12, s. 14; S.I. 2000/3316, art. 2
Pt. II (ss. 8-27) power to apply (with modifications) conferred (20.7.2001) by 2000 c. 8, s. 360; S.I. 2001/2632, art. 2(1), Sch. Pt. I
Administrators
C6C719 Vacation of office.
1
The administrator of a company may at any time be removed from office by order of the court and may, in the prescribed circumstances, resign his office by giving notice of his resignation to the court.
2
The administrator shall vacate office if—
a
he ceases to be qualified to act as an insolvency practitioner in relation to the company, or
b
the administration order is discharged.
3
Where at any time a person ceases to be administrator, the F2following subsections apply.
C84
His remuneration and any expenses properly incurred by him shall be charged on and paid out of any property of the company which is in his custody or under his control at that time in priority to any security to which section 15(1) then applies.
5
Any sums payable in respect of debts or liabilities incurred, while he was administrator, under contracts entered into F3. . . by him or a predecessor of his in the carrying out of his or the predecessor’s functions shall be charged on and paid out of any such property as is mentioned in subsection (4) in priority to any charge arising under that subsection.
6 F4
Any sums payable in respect of liabilities incurred, while he was administrator, under contracts of employment adopted by him or a predecessor of his in the carrying out of his or the predecessor’s functions shall, to the extent that the liabilities are qualifying liabilities, be charged on and paid out of any such property as is mentioned in subsection (4) and enjoy the same priority as any sums to which subsection (5) applies.
F5For this purpose, the administrator is not to be taken to have adopted a contract of employment by reason of anything done or omitted to be done within 14 days after his appointment.
F67
For the purposes of subsection (6), a liability under a contract of employment is a qualifying liability if—
a
it is a liability to pay a sum by way of wages or salary or contribution to an occupational pension scheme, and
b
it is in respect of services rendered wholly or partly after the adoption of the contract.
8
There shall be disregarded for the purposes of subsection (6) so much of any qualifying liability as represents payment in respect of services rendered before the adoption of the contract.
9
For the purposes of subsections (7) and (8)—
a
wages or salary payable in respect of a period of holiday or absence from work through sickness or other good cause are deemed to be wages or (as the case may be) salary in respect of services rendered in that period, and
b
a sum payable in lieu of holiday is deemed to be wages or (as the case may be) salary in respect of services rendered in the period by reference to which the holiday entitlement arose.
10
In subsection (9)(a), the reference to wages or salary payable in respect of a period of holiday includes any sums which, if they had been paid, would have been treated for the purposes of the enactments relating to social security as earnings in respect of that period.
Pt. II (s. 8) substituted (15.9.2003) for Pt. II (ss. 8-27) by Enterprise Act 2002 (c. 40), ss. 248(1), 279 (with s. 249(1)-(3)(6)); S.I. 2003/2093, art. 2(1), Sch. 1 (subject to arts. 3-8 (as amended by S.I. 2003/2332, art. 2))