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(1)“Indemnifiable amounts”, in relation to an authorised person, means—
(a)costs which the person reasonably incurs in or in connection with proceedings in respect of anything done or omitted to be done in the exercise (or purported exercise) of the person's duty as an authorised person,
(b)costs which the person reasonably incurs in taking steps to dispute a claim which might be made in such proceedings,
(c)damages awarded against the person or costs ordered to be paid by the person in such proceedings, or
(d)sums payable by the person in connection with a reasonable settlement of such proceedings or such a claim.
(2)Indemnifiable amounts relate to criminal matters if the duty mentioned in subsection (1)(a) relates to criminal matters.
(3)The Lord Chancellor must indemnify an authorised person in respect of—
(a)indemnifiable amounts which relate to criminal matters, unless it is proved, in respect of the matters giving rise to the proceedings or claim, that the person acted in bad faith, and
(b)other indemnifiable amounts if, in respect of the matters giving rise to the proceedings or claim, the person acted reasonably and in good faith.
(4)The Lord Chancellor may indemnify an authorised person in respect of other indemnifiable amounts unless it is proved, in respect of the matters giving rise to the proceedings or claim, that the person acted in bad faith.
(5)Any question whether, or to what extent, an authorised person is to be indemnified under this section is to be determined by the Lord Chancellor.
(6)The Lord Chancellor may, if the person claiming to be indemnified so requests, make a determination for the purposes of this section with respect to—
(a)costs such as are mentioned in subsection (1)(a) or (b), or
(b)sums such as are mentioned in subsection (1)(d),
before the costs are incurred or the settlement in connection with which the sums are payable is made.
(7)But a determination under subsection (6) before costs are incurred—
(a)is subject to such limitations (if any) as the Lord Chancellor thinks proper and to the subsequent determination of the costs reasonably incurred, and
(b)does not affect any other determination which may fall to be made in connection with the proceedings or claim in question.]
Textual Amendments
F1Pt. 6A inserted (10.1.2020 for specified purposes, 6.4.2020 in so far as not already in force) by Courts and Tribunals (Judiciary and Functions of Staff) Act 2018 (c. 33), s. 4(3), Sch. para. 32; S.I. 2020/24, regs. 2(b)(iii), 3(b)
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