Legal Services Act 2007

Valid from 01/10/2011

2 (1) The licensing authority may apply to the High Court for an order under sub-paragraph (2), and the High Court may make the order if it thinks fit. E+W

(2) The order is that a person holding money on behalf of the licensed body may not make any payment of the money, except with the leave of the court.

(3) An order under sub-paragraph (2) may take effect in relation to a person—

(a) whether or not the person is named in the order;

(b) however the money is held;

(c) whether the money was received before or after the order was made.

(4) But an order under sub-paragraph (2) does not take effect in relation to a person until the licensing authority—

(a) has given the person a copy of the order, and

(b) (in the case of a bank or other financial institution) has indicated the branches at which it believes money to which the order relates is held.

(5) A person is not to be treated as having disobeyed an order under sub-paragraph (2) by making a payment of money if the court is satisfied that the person—

(a) exercised due diligence to ascertain whether it was money to which the order related, and

(b) failed to ascertain that the order related to it.