Legal Practice Notes

Practice Note This Practice Note outlines the core principles to bear in mind when seeking to invoke jurisdictional service gateways. It explains the nature of a jurisdictional service gateway, identifies the date by reference to which the gateway must apply, and describes how the gateway is satisfied. Indicates where the jurisdictional gateways are located and supplies a compiled list of them, setting out their source. Includes links to the relevant provisions of CPR PD 6B, para 3.1 for each gateway. Records the dates on which gateways came into force, were substituted, or were deleted. Provides links to guidance focused on each specific gateway. The Practice Note also addresses what must be shown to establish that a jurisdictional gateway applies, together with guidance on interpreting and construing a jurisdictional gateway. It should be read alongside Practice Note: Determining whether the courts of...

This Practice Note examines the service of insolvency proceedings on persons situated outside the jurisdiction. It does not cover service in general. For broader material on service, consult the following Practice Notes: Service of documents in insolvency proceedings—how service is effected, what must be served and when What you can do if you cannot effect service of insolvency proceedings on the respondent Is permission required to serve out of the jurisdiction? As a general rule, where service of applications issued within a formal insolvency procedure is required, the methods in CPR 6 apply, subject to any modifications the court may approve or direct (as provided by Insolvency ( England and Wales) Rules 2016 ( IR 2016), SI 2016/1024, Sch 4, para 1(8)). The table at the end of IR 2016, SI 2016/1024, Sch 4 confirms that, for the purposes of CPR 6, an...

This Practice Note examines the defendant’s ability to require the claimant to serve the claim form, as governed by CPR 7.7. CPR 7.7 notice Where a claim form has been issued but not yet served on the defendant, CPR 7.7(1) permits the defendant to give the claimant a notice requiring them to either: serve the claim form, or discontinue the claim within the period stated in the notice There is no obligation on a defendant to invoke CPR 7.7 to compel service; it is a matter of choice, as recognised in Bourlakova v Bourlakova (2022). When deciding whether to serve a CPR 7.7 notice, note that: the period specified in the notice must be at least 14 days after the notice is served ( CPR 7.7(2)) the notice can only be used to request service; the rule does not allow the...

This Practice Note outlines the options open to a claimant who is facing problems serving the claim form within time, and to a defendant who wishes to insist on service, contest the court’s jurisdiction because service was invalid, or pursue discontinuance of the claim. Claimant—potential difficulties with service Unable to serve within the time required A claim form is only effective if served within the relevant period prescribed by the CPR or any applicable statutory limit; the deadlines for service vary according to whether service takes place in England and Wales or in another jurisdiction. For further guidance, see Practice Note: Service of the claim form—time periods for service. The authorities demonstrate that the courts show scant indulgence to claimants who miss the deadline for service. This approach applies equally to litigants in person, as confirmed by the Supreme Court in Barton v Wright Hassall (2018). Without a good...

This Practice Note explains who must serve the claim form on the defendant—the court or the claimant. Who is to serve the claim form? As a default, the court serves the claim form unless one of the three situations in CPR 6.4(1) applies: the claimant is required to serve it under the CPR or a practice direction the claimant has told the court it intends to serve it the court makes an order or direction to the contrary In certain specialist courts, service is by the claimant rather than the court. These are jurisdictions within the Rolls Building. The position may arise from CPR provisions, guidance in the relevant court guide, or established practice: Admiralty Court—see CPR 61.1(3) and CPR PD 58, para 9 Commercial Court—see CPR PD 58, para 9 and Court specific guidance below. Note, this does not apply in the...

This Tracker sets out instances where the courts have examined their jurisdiction to cure an ‘error of procedure’ under CPR 3.10 in the context of serving documents. The sample decisions relate to both the claim form and other paperwork. As regards the claim form, the authorities should be approached with particular care. The contemporary view is that CPR 3.10 will seldom help where the flaw concerns service of the claim form, and it cannot be invoked to sidestep the specific regime for service, time extensions, alternative service or dispensing with service. CPR 3.10 confers on the court a general power to put right an ‘error of procedure’ committed by a party to the proceedings. When assessing whether CPR 3.10 can offer relief, it is important to grasp what is meant by ‘error of procedure’. This is addressed in Practice Note:...

This Practice Note This Practice Note serves as a primer on the facilities commonly included in a leveraged senior facilities agreement ( SFA) and considers: the key attributes of each category of senior facility the types of senior lenders typically involved how the terms of the senior facilities are documented the security package and intercreditor position for senior facilities For an introductory overview of acquisition and leveraged finance, see Practice Note: Introductory guide to acquisition finance. For fuller detail on standard terms for senior facilities, see Practice Note: Introductory guide to leveraged finance facilities agreements. Definitions for many of the expressions used in this Practice Note are set out in the Glossary of acquisition finance terms and jargon......

This Practice Note considers the following issues in relation to the development and use of autonomous and connected vehicles (also referred to as self-driving vehicles, driverless cars or automated vehicles): Core terminology and concepts Developments in sector-specific UK law The Law Commissions’ joint report: Automated Vehicles Automated Vehicles Act 2024 Liability Product liability under the Consumer Protection Act 1987 Advertising and marketing Data protection and cybersecurity Mobility-as-a-service Public policy and press coverage around driverless technology has largely centred on privately owned road vehicles, which is the principal emphasis of this note at present. Nonetheless, the underlying systems span multiple industries, and there are indications that earlier, tangible gains may arise from advancing automated vehicle capability in fields such as maritime transport and agriculture. The technology’s relevance extends well beyond personal transport, with earlier adoption likely in...

This Practice Note offers a concise introduction to security and addresses the following: what security is why lenders take security who may grant security which assets can be the subject of security what forms of security can be granted what perfection is and why perfecting security matters other steps a lender can take to improve its place in the order of priority In this Practice Note, the term ‘security provider’ means the person or entity that creates security over its assets. The term ‘secured party’ means the person or entity that benefits from that security. The secured party is commonly a lender under a loan, and this Practice Note proceeds on the basis that security is taken in connection with a lending transaction. Security, however, may support any form of...

This Practice Note explores the matters that may emerge after the court has made an order for security. It considers: what occurs if a party fails to make the payment required by the order, i.e. non-compliance with a security for costs order; whether a security for costs order can be altered once it has been made; whether proceedings are stayed until the security for costs is paid; and whether there is a right of appeal against the security for costs order. Note that, on 6 April 2025, changes to CPR 25 came into effect which re-numbered the former CPR 25 provisions and amended some of the wording of its security for costs rules. This Practice Note refers to the prior rule 25 as ‘old rule 25’ and, where applicable, points out any differences between the current CPR 25 and the old rule 25. The old rule 25...

This Practice Note explores the circumstances in which the court may order security for costs in matters where counterclaims are involved. It considers both the claimant’s ability to obtain security for costs from a counterclaiming defendant, and whether that counterclaiming defendant can, in turn, seek security for costs against the claimant. Note that, on 6 April 2025, amendments to CPR 25 came into force, re-numbering the earlier provisions of CPR 25 and adjusting aspects of the wording concerning security for costs. Where appropriate, this Practice Note refers to the previous rule 25 as the ‘old rule 25’ and points out any differences between the current CPR 25 and the old rule 25. The old rule 25 can be accessed here: This Practice Note is one of a series considering issues relating to security for costs under CPR 25. The other Practice Notes are set out in...

This Practice Note examines the condition in CPR 25.27(b)(i) for ordering security for costs where the claimant is resident outside the jurisdiction, ie England and Wales. The rule has been altered in both numbering and wording. For further insight, see: Changes to CPR 25. For guidance on the other conditions under CPR 25.27(b), see Practice Note: Security for costs—requirements and conditions ( CPR 25.27). The underlying rationale is that enforcing an order in certain jurisdictions may prove more difficult or more expensive. The Court of Appeal clarified this in Nasser v United Bank of Kuwait (2001), indicating that enforcing security for costs abroad can be harder or costlier than in other places, with reference to Sir Jeffery Bowman’s 1997 Review at paragraphs 33–37. Summary of the court’s approach The Court of Appeal summarised the relevant principles in Danilina v Chernukhin (2018),...

Bona vacantia denotes ‘ownerless goods’. Under section 1012 of the Companies Act 2006 ( CA 2006), any assets not otherwise disposed of and still held by a company at the time of a company’s dissolution pass to the Crown as bona vacantia. This Practice Note examines the enforcement of security—whether by a mortgagee’s sale or by appointing a receiver—over property that has vested in the Crown bona vacantia, following dissolution. It addresses bona vacantia property, disclaimer, escheat, the role of the Crown/ Government Legal Department and the HM Land Registry’s guidance. It looks at these matters collectively and in an overview. How is a company struck off? Broadly, a company can be struck off the register of companies in two ways: voluntarily, on an application by the directors by the Registrar of Companies—the Registrar may strike off and dissolve companies the Registrar considers are not carrying on...

What is sectional completion? Where a construction contract divides the works into sections or parts, often intended to commence at different times, the employer will set distinct completion dates for each of those separate elements of the works. This arrangement is known as sectional completion. Sectional completion operates to the employer’s advantage because it enables earlier use of portions of the development than would be possible if the entire scheme had to be finished before any handover. In the absence of sections, the contractor would retain possession of, and occupy, the whole site until all works were complete. By contrast, in a residential development, the employer can start showing and selling units as soon as they are completed, rather than waiting for the whole development to be delivered. This in turn allows the employer to begin recouping some of its build costs at an earlier stage, while the...

THIS PRACTICE NOTE APPLIES IN RELATION TO OCCUPATIONAL PENSION SCHEMES The framework set out in sections 67–67I of the Pensions Act 1995 ( PA 1995), often called the ‘subsisting rights provisions’ or simply the ‘section 67 regime’, places statutory limits on what changes can be made to occupational pension schemes. Broadly, section 67 is intended to stop adverse changes to members’ accrued (past service) benefits unless members agree. From 6 April 2006 ( A‑day), section 262 of the Pensions Act 2004 revised the wording of the original section 67 (the ‘old s 67’). Following A‑day, the regime applies to ‘regulated modifications’ (see below), whereas the old s 67 covered any change that ‘would or might affect any entitlement, accrued right […] of any member acquired before’ the modification took effect. The old s 67 regime governed amendments made between 6 April 1997 and 5 April 2006....

What is a section 32 buy-out policy? In pensions, the term ‘section 32 buy-out policy’—also known as a section 32 policy or pension buy-out bond—describes a specific type of buy-out policy named after section 32 of the Finance Act 1981, which has since been repealed. These arrangements were especially common before 1988, that is, before personal pension schemes appeared. As with other buy-outs, a section 32 is a deferred annuity contract. It is purchased from an insurance company and, as the name suggests, is used to buy out a member’s deferred benefit entitlements (including, where applicable, deferred contracted-out benefits) from a pension scheme, so that the benefits are transferred from the scheme to be held under the policy. One-member arrangements Separate from the pension scheme that originally held the member’s entitlements Set up to pay the transferred benefits to, or in respect of, the member at a future...

This Practice Note reviews the alternative three-year limitation period in section 14A of the Limitation Act 1980 ( LA 1980), which extends the timeframe for commencing a claim by reference to the claimant’s knowledge of the material facts It identifies: the circumstances in which the provision is engaged the nature of the requisite knowledge the principle that the claimant is fixed with constructive knowledge of specified matters It also outlines the 15-year long-stop under LA 1980, s 14B for negligence actions that do not concern personal injuries. For detailed guidance on considerations relevant to construction disputes and building-defect matters, see: Defects in construction projects—overview. For wider guidance on LA 1980 and links to related practical materials, see:...

Agreements entered into under section 106 of the Town and Country Planning Act 1990 ( TCPA 1990) (previously section 52 agreements), often called ‘planning obligations’ or ‘s 106 agreements’, are pacts between developers/landowners and local planning authorities ( LPAs) requiring developers to contribute to a range of infrastructure and services, such as community facilities, public open space, transport improvements and/or affordable housing, to mitigate the impacts of their development. They run with land and are enforceable against successors in title. See Practice Note: Planning obligations—key points and Checklist for drafting a section 106 agreement. Standard form planning obligations/section 106 agreement LPAs usually provide the first draft of the s 106 agreement, based on their standard agreements or model clauses. The developer then amends it and negotiations are undertaken to come to an agreed form. Although each s 106 agreement will be unique and respond to the...

Secret trusts The enforcement of secret trusts has its roots in equitable principles. In these cases, it is not typically the Will itself that is in issue, but a specific disposition. Definition There are two recognised forms of secret trust: Fully secret trust: the named beneficiary appears to receive an absolute gift, yet has in fact agreed with the testator to hold the property on specified trusts. Half or semi-secret trust: the beneficiary is merely a trustee and the terms of the trust are not disclosed, or not fully disclosed, in the Will. There is also a distinct situation that likely falls between these, where the testator asks the beneficiary to deal with certain property in a manner already communicated, or to be communicated, without imposing a trust or legal obligation. In that circumstance the beneficiary takes outright. The fundamentals The key elements of a secret trust...

This Practice Note considers the legal and practical aspects of setting up, managing and terminating a secondment, and identifies key issues to be dealt with when it comes to drafting or reviewing a secondment agreement. An employee is usually placed on secondment when they are temporarily directed to work for: another division or unit within their employer’s organisation a different company within the same corporate group a client or customer of their employer Accordingly, a secondment can involve up to three parties: the individual on secondment, referred to in this Practice Note as ‘the employee’ or ‘the secondee’ the secondee’s current employer, described as ‘the employer’ or ‘the original employer’ the entity receiving the secondee, known as ‘the host’ For an internal secondment, where there is no outside host, the parties are simply the secondee and the employer. A single...