The Civil Procedure Rules 1998

[F1 II REPRESENTATIVE PARTIES E+W

Textual Amendments

F1 Pt. 19 substituted (2.5.2000) by The Civil Procedure (Amendment) Rules 2000 (S.I. 2000/221), rule 1(b), Sch. 2

Representative parties with same interest E+W

19.6— (1) Where more than one person has the same interest in a claim—

(a) the claim may be begun; or

(b) the court may order that the claim be continued,

by or against one or more of the persons who have the same interest as representatives of any other persons who have that interest.

(2) The court may direct that a person may not act as a representative.

(3) Any party may apply to the court for an order under paragraph (2).

(4) Unless the court otherwise directs any judgment or order given in a claim in which a party is acting as a representative under this rule—

(a) is binding on all persons represented in the claim; but

(b) may only be enforced by or against a person who is not a party to the claim with the permission of the court.

(5) This rule does not apply to a claim to which rule 19.7 applies.

Representation of interested persons who cannot be ascertained etc. E+W

19.7— (1) This rule applies to claims about—

(a) the estate of a deceased person;

(b) property subject to a trust; or

(c) the meaning of a document, including a statute.

(2) The court may make an order appointing a person to represent any other person or persons in the claim where the person or persons to be represented—

(a) are unborn;

(b) cannot be found;

(c) cannot easily be ascertained; or

(d) are a class of persons who have the same interest in a claim and—

(i) one or more members of that class are within sub-paragraphs (a), (b) or (c); or

(ii) to appoint a representative would further the overriding objective.

(3) An application for an order under paragraph (2)—

(a) may be made by—

(i) any person who seeks to be appointed under the order; or

(ii) any party to the claim; and

(b) may be made at any time before or after the claim has started.

(4) An application notice for an order under paragraph (2) must be served on—

(a) all parties to the claim, if the claim has started;

(b) the person sought to be appointed, if that person is not the applicant or a party to the claim; and

(c) any other person as directed by the court.

(5) The court’s approval is required to settle a claim in which a party is acting as a representative under this rule.

(6) The court may approve a settlement where it is satisfied that the settlement is for the benefit of all the represented persons.

(7) Unless the court otherwise directs, any judgment or order given in a claim in which a party is acting as a representative under this rule—

(a) is binding on all persons represented in the claim; but

(b) may only be enforced by or against a person who is not a party to the claim with the permission of the court.

[F2 Representation of beneficiaries by trustees etc. E+W

19.7A— (1) A claim may be brought by or against trustees, executors or administrators in that capacity without adding as parties any persons who have a beneficial interest in the trust or estate (“the beneficiaries”).

(2) Any judgment or order given or made in the claim is binding on the beneficiaries unless the court orders otherwise in the same or other proceedings.]

Textual Amendments

F2 Rule 19.7A inserted (2.12.2002) by The Civil Procedure (Amendment) Rules 2002 (S.I. 2002/2058), rules 1(b), 6(a)

[F3 Postal Services Act 2000 (c. 26) E+W

19.7B— (1) An application under section 92 of the Postal Services Act 2000 for permission to bring proceedings in the name of the sender or addressee of a postal packet or his personal representative is made in accordance with Part 8.

(2) A copy of the application notice must be served on the universal service provider and on the person in whose name the applicant seeks to bring the proceedings.]

Textual Amendments

F3 Rule 19.7B inserted (1.10.2005) by The Civil Procedure (Amendment No.3) Rules 2005 (S.I. 2005/2292), rules 1(c), 24

Death E+W

19.8— (1) Where a person who had an interest in a claim has died and that person has no personal representative the court may order—

(a) the claim to proceed in the absence of a person representing the estate of the deceased; or

(b) a person to be appointed to represent the estate of the deceased.

(2) Where a defendant against whom a claim could have been brought has died and—

(a) a grant of probate or administration has been made, the claim must be brought against the persons who are the personal representatives of the deceased;

(b) a grant of probate or administration has not been made—

(i) the claim must be brought against “the estate of” the deceased; and

(ii) the claimant must apply to the court for an order appointing a person to represent the estate of the deceased in the claim.

(3) A claim shall be treated as having been brought against “the estate of” the deceased in accordance with paragraph (2)(b)(i) where—

(a) the claim is brought against the “personal representatives” of the deceased but a grant of probate or administration has not been made; or

(b) the person against whom the claim was brought was dead when the claim was started.

(4) Before making an order under this rule, the court may direct notice of the application to be given to any other person with an interest in the claim.

(5) Where an order has been made under paragraphs (1) or (2)(b)(ii) any judgment or order made or given in the claim is binding on the estate of the deceased.

Power to make judgments binding on non-parties E+W

[F4 19.8A— (1) This rule applies to any claim relating to—

(a) the estate of a deceased person;

(b) property subject to a trust; or

(c) the sale of any property.

(2) The court may at any time direct that notice of—

(a) the claim; or

(b) any judgment or order given in the claim,

be served on any person who is not a party but who is or may be affected by it.

(3) An application under this rule—

(a) may be made without notice; and

(b) must be supported by written evidence which includes the reasons why the person to be served should be bound by the judgment in the claim.

(4) Unless the court orders otherwise—

(a) a notice of a claim or of a judgment or order under this rule must be—

(i) in the form required by the practice direction;

(ii) issued by the court; and

(iii) accompanied by a form of acknowledgment of service with any necessary modifications;

(b) a notice of a claim must also be accompanied by—

(i) a copy of the claim form; and

(ii) such other statements of case, witness statements or affidavits as the court may direct; and

(c) a notice of a judgment or order must also be accompanied by a copy of the judgment or order.

(5) If a person served with notice of a claim files an acknowledgment of service of the notice within 14 days he will become a party to the claim.

(6) If a person served with notice of a claim does not acknowledge service of the notice he will be bound by any judgment given in the claim as if he were a party.

(7) If, after service of a notice of a claim on a person, the claim form is amended so as substantially to alter the remedy claimed, the court may direct that a judgment shall not bind that person unless a further notice, together with a copy of the amended claim form, is served on him.

(8) Any person served with a notice of a judgment or order under this rule—

(a) shall be bound by the judgment or order as if he had been a party to the claim; but

(b) may, provided he acknowledges service—

(i) within 28 days after the notice is served on him, apply to the court to set aside or vary the judgment or order; and

(ii) take part in any proceedings relating to the judgment or order.

(9) The following rules of Part 10 (acknowledgment of service) apply—

(a) rule 10.4; and

(b) rule 10.5, subject to the modification that references to the defendant are to be read as references to the person served with the notice.

(10) A notice under this rule is issued on the date entered on the notice by the court.]

Textual Amendments

F4 Rule 19.8A substituted (2.12.2002) by The Civil Procedure (Amendment) Rules 2002 (S.I. 2002/2058), rules 1(b), 6(b)

[F5 Derivative claims– how started E+W

19.9— (1) This rule—

(a) applies to a derivative claim (where a company, other body corporate or trade union is alleged to be entitled to claim a remedy, and a claim is made by a member of it for it to be given that remedy), whether under Chapter 1 of Part 11 of the Companies Act 2006 or otherwise; but

(b) does not apply to a claim made pursuant to an order under section 944 of that Act.

(2) A derivative claim must be started by a claim form.

(3) The company, body corporate or trade union for the benefit of which a remedy is sought must be made a defendant to the claim.

(4) After the issue of the claim form, the claimant must not take any further step in the proceedings without the permission of the court, other than—

(a) a step permitted or required by rule 19.9A or 19.9C; or

(b) making an urgent application for interim relief.

Textual Amendments

F5 Rules 19.9-19.9F substituted for rule 19.9 (1.10.2007) by The Civil Procedure (Amendment) Rules 2007 (S.I. 2007/2204), rule 1, Sch. 1 (with rule 21)

Derivative claims under Chapter 1 of Part 11 of the Companies Act 2006 – application for permission E+W

19.9A.— (1) In this rule—

• “the Act” means the Companies Act 2006;

• “derivative claim” means a derivative claim under Chapter 1 of Part 11 of the Act;

• “permission application” means an application referred to in section 261(2), 262(2) or 264(2) of the Act;

• “the company” means the company for the benefit of which the derivative claim is brought.

(2) When the claim form for a derivative claim is issued, the claimant must file—

(a) an application notice under Part 23 for permission to continue the claim; and

(b) the written evidence on which the claimant relies in support of the permission application.

(3) The claimant must not make the company a respondent to the permission application.

(4) Subject to paragraph (7), the claimant must notify the company of the claim and permission application by sending to the company as soon as reasonably practicable after the claim form is issued—

(a) a notice in the form set out in the practice direction supplementing this rule, and to which is attached a copy of the provisions of the Act required by that form;

(b) copies of the claim form and the particulars of claim;

(c) the application notice; and

(d) a copy of the evidence filed by the claimant in support of the permission application.

(5) The claimant may send the notice and documents required by paragraph (4) to the company by any method permitted by Part 6 as if the notice and documents were being served on the company.

(6) The claimant must file a witness statement confirming that the claimant has notified the company in accordance with paragraph (4).

(7) Where notifying the company of the permission application would be likely to frustrate some party of the remedy sought, the court may, on application by the claimant, order that the company need not be notified for such period after the issue of the claim form as the court directs.

(8) An application under paragraph (7) may be made without notice.

(9) Where the court dismisses the claimant’s permission application without a hearing, the court will notify the claimant and (unless the court orders otherwise) the company of that decision.

(10) The claimant may ask for an oral hearing to reconsider the decision to dismiss the permission application, but the claimant—

(a) must make the request to the court in writing within seven days of being notified of the decision; and

(b) must notify the company in writing, as soon as reasonably practicable, of that request unless the court orders otherwise.

(11) Where the court dismisses the permission application at a hearing pursuant to paragraph (10), it will notify the claimant and the company of its decision.

(12) Where the court does not dismiss the application under section 261(2) of the Act, the court will—

(a) order that the company and any other appropriate party must be made respondents to the permission application; and

(b) give directions for the service on the company and any other appropriate party of the application notice and the claim form.

Textual Amendments

F5 Rules 19.9-19.9F substituted for rule 19.9 (1.10.2007) by The Civil Procedure (Amendment) Rules 2007 (S.I. 2007/2204), rule 1, Sch. 1 (with rule 21)

Derivative claims under Chapter 1 of Part 11 of the Companies Act 2006 – members of companies taking over claims by companies or other members E+W

19.9B.— (1) This rule applies to proceedings under section 262(1) or 264(1) of the Companies Act 2006.

(2) The application for permission must be made by an application notice in accordance with Part 23.

(3) Rule 19.9A (except for paragraphs (1), (2) and (4)(b) of that rule, and paragraph (12)(b) so far as it applies to the claim form) applies to an application under this rule and references to the claimant in rule 19.9A are to be read as references to the person who seeks to take over the claim.

Textual Amendments

F5 Rules 19.9-19.9F substituted for rule 19.9 (1.10.2007) by The Civil Procedure (Amendment) Rules 2007 (S.I. 2007/2204), rule 1, Sch. 1 (with rule 21)

Derivative claims – other bodies corporate and trade unions E+W

19.9C.— (1) This rule sets out the procedure where—

(a) either—

(i) a body corporate to which Chapter 1 of Part 11 of the Companies Act 2006 does not apply; or

(ii) a trade union,

is alleged to be entitled to a remedy; and

(b) either—

(i) a claim is made by a member for it to be given that remedy; or

(ii) a member of the body corporate or trade union seeks to take over a claim already started, by the body corporate or trade union or one or more of its members, for it to be given that remedy.

(2) The member who starts, or seeks to take over, the claim must apply to the court for permission to continue the claim.

(3) The application for permission must be made by an application notice in accordance with Part 23.

(4) The procedure for applications in relation to companies under section 261, 262 or 264 (as the case requires) of the Companies Act 2006 applies to the permission application as if the body corporate or trade union were a company.

(5) Rule 19.9A (except for paragraphs (1), (2) and (4)(b) of that rule, and paragraph (12)(b) so far as it applies to the claim form) also applies to the permission application as if the body corporate or trade union were a company.

Textual Amendments

F5 Rules 19.9-19.9F substituted for rule 19.9 (1.10.2007) by The Civil Procedure (Amendment) Rules 2007 (S.I. 2007/2204), rule 1, Sch. 1 (with rule 21)

Derivative claims arising in the course of other proceedings E+W

19.9D.   If a derivative claim (except such a claim in pursuance of an order under section 994 of the Companies Act 2006) arises in the course of other proceedings—

(a) in the case of a derivative claim under Chapter 1 of Part 11 of that Act, rule 19.9A or 19.9B applies, as the case requires; and

(b) in any other case, rule 19.9C applies.

Textual Amendments

F5 Rules 19.9-19.9F substituted for rule 19.9 (1.10.2007) by The Civil Procedure (Amendment) Rules 2007 (S.I. 2007/2204), rule 1, Sch. 1 (with rule 21)

Derivative claims – costs E+W

19.9E.   The court may order the company, body corporate or trade union for the benefit of which a derivative claim is brought to indemnify the claimant against liability for costs incurred in the permission application or in the derivative claim or both.

Textual Amendments

F5 Rules 19.9-19.9F substituted for rule 19.9 (1.10.2007) by The Civil Procedure (Amendment) Rules 2007 (S.I. 2007/2204), rule 1, Sch. 1 (with rule 21)

Derivative claims – discontinuance and settlement E+W

19.9F.   Where the court has given permission to continue a derivative claim, the court may order that the claim may not be discontinued or settled without the permission of the court.]]

Textual Amendments

F5 Rules 19.9-19.9F substituted for rule 19.9 (1.10.2007) by The Civil Procedure (Amendment) Rules 2007 (S.I. 2007/2204), rule 1, Sch. 1 (with rule 21)