Statutory derivative claims: CA 2006 ss 260–264 procedure, permission tests, funding and costs, and CPR 19 practice (England and Wales)

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Practice notes

This Practice Note

This Practice Note explores the principal procedural steps for bringing a statutory derivative claim under sections 260–264 of the Companies Act 2006 (CA 2006), covering the permission application and the test the court will apply. It offers guidance on construing and applying the relevant CPR provisions. Depending on the court dealing with your matter, you should also be alert to any additional requirements—see Court-specific guidance below.

Practitioners should note that, with effect from 6 April 2023, the CPR provisions concerning derivative claims were amended. In particular, CPR 19 was updated and CPR PD 19C was amended and re-designated as CPR PD 19A. These changes did not materially alter the substance of the approach to derivative claims, but the numbering of the pertinent provisions was changed. Judgments issued before 6 April 2023 may therefore refer to the previous provisions and numbering. For further information, see:

LNB News 03/02/2023 9—Civil Procedure (Amendment) Rules 2023
LNB News 07/02/2023 72—153rd Practice Direction update—changes in force 31 January 2023 and 6 April 2023

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Web page updated on 30/05/2026

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