Bankruptcy Restriction Undertaking meaning

This is a glossary of common words and expressions used in Scottish insolvency law with the nearest England and Wales insolvency law equivalent (where relevant) Absolute insolvency Meaning: When a person’s liabilities are greater than the overall worth of their assets. Nearest English equivalent: Balance sheet insolvency. Accountant in Bankruptcy (AiB) Meaning: A Scottish Government agency overseeing the regulation of personal bankruptcy (sequestration and Protected Trust Deeds) in Scotland, and able to serve as trustee in sequestrations where no insolvency practitioner is appointed. It also maintains records of corporate insolvencies in Scotland (receivership and liquidations only) but does not perform the role of Official Receiver. See Practice Note: Scotland: the Accountant in Bankruptcy. Nearest English equivalent: N/A. Accountant of Court Meaning: A court-appointed officer within Scottish Courts and Tribunals who administers funds consigned to the Accountant of Court pursuant to a Court of Session interlocutor or during liquidation proceedings. They oversee Judicial Factors or Administrators appointed by the Court to manage estates...

This practice note discusses the ability for a disqualified director to apply for permission to act as a director despite disqualification, using s 17 of the Company Directors Disqualification Act 1986 (CDDA 1986). It outlines the legal context in brief, and then focuses on the considerations the court may weigh when deciding whether to grant leave. For guidance on the procedural steps to seek leave, see Practice Note: Applications for leave to act as a director under section 17 of the Company Directors Disqualification Act 1986—jurisdiction, parties and the application procedure. For information on potential terms the court may attach to any permission, see Practice Note: Applications for leave to act as a director under section 17 of the Company Directors Disqualification Act 1986—possible conditions attached to leave. Directors may face disqualification under various statutory routes. For the purposes of these permission notes, the focus is on disqualification under CDDA 1986, ss 6, 8, 10, 11 and 12, which also encompasses disqualification arising from a Bankruptcy...

How can a director be disqualified? There are several routes by which a director can be disqualified, spanning various provisions of the Company Directors Disqualification Act 1986 (CDDA 1986) and the Insolvency Act 1986 (IA 1986). These include disqualification on bankruptcy and through a bankruptcy restrictions order (BRO) or a bankruptcy restrictions undertaking (BRU). For further guidance, refer to the following Practice Notes: Practice Note: How can a director be disqualified as a company director? Bankruptcy restrictions orders and undertakings—overview This Practice Note is not intended to cover every restriction arising from a BRO, BRU or bankruptcy. For full details, see the separate Practice Note: Effect and duration of bankruptcy restrictions orders (BROs). The scope here is limited to restrictions resulting from disqualification under CDDA 1986, section 6. It also excludes the restrictions under IA 1986, section 216 relating to prohibited names. For more on those provisions, see Practice Note: Prohibited names under section 216 of the Insolvency Act 1986...