Companies Act 1989

180 Proceedings against market property by unsecured creditors. E+W+S

(1) Where property (other than land) is held by a recognised investment exchange or recognised clearing house as margin in relation to market contracts [F1 or as default fund contribution,] or is subject to a market charge, no execution or other legal process for the enforcement of a judgment or order may be commenced or continued, and no distress may be levied, [F2 and no power to use the procedure in Schedule 12 to the Tribunals, Courts and Enforcement Act 2007 (taking control of goods) may be exercised,] against the property by a person not seeking to enforce any interest in or security over the property, except with the consent of—

(a) in the case of property provided as cover for margin [F3 or as default fund contribution], the investment exchange or clearing house in question, or

(b) in the case of property subject to a market charge, the person in whose favour the charge was granted.

(2) Where consent is given the proceedings may be commenced or continued notwithstanding any provision of the M1 Insolvency Act 1986 or the Bankruptcy (Scotland) Act [F4 2016].

(3) Where by virtue of this section a person would not be entitled to enforce a judgment or order against any property, any injunction or other remedy granted with a view to facilitating the enforcement of any such judgment or order shall not extend to that property.

(4) In the application of this section to Scotland, the reference to execution being commenced or continued includes a reference to diligence being carried out or continued, and the reference to distress being levied shall be omitted.

Textual Amendments

F1 Words in s. 180(1) inserted (15.6.2009) by The Financial Markets and Insolvency Regulations 2009 (S.I. 2009/853), regs. 1(1), 2(14)(a)

F2 Words in s. 180(1) inserted (6.4.2014) by Tribunals, Courts and Enforcement Act 2007 (c. 15), s. 148, Sch. 13 para. 91 (with s. 89); S.I. 2014/768, art. 2(1)(b)

F3 Words in s. 180(1)(a) inserted (15.6.2009) by The Financial Markets and Insolvency Regulations 2009 (S.I. 2009/853), regs. 1(1), 2(14)(b)

F4 Word in s. 180(2) substituted (30.11.2016) by The Bankruptcy (Scotland) Act 2016 (Consequential Provisions and Modifications) Order 2016 (S.I. 2016/1034), art. 1, Sch. 1 para. 6(8)

Modifications etc. (not altering text)

C1 S. 180 applied (15.8.1995) by S.I. 1995/2049, reg. 25(3)

Commencement Information

I1 S. 180 wholly in force at 25.4.1991 see s. 215 and S.I. 1991/878, art. 2, Sch. (subject to certain savings in art. 3(7)).

Marginal Citations

M1 1986 c. 45.