# Companies Act 1985, Paragraph 7: Penalty for non-compliance

Extent: E+W+S

(1) If an institution fails to comply with paragraph 2, 3 or 5(2) before the end of the period allowed for compliance, the institution and every person who immediately before the end of that period was a director of the institution, or, in the case of an institution which does not have directors, a person occupying an equivalent office, is guilty of an offence and liable to a fine and, for continued contravention, to a daily default fine.
(2) It is a defence for a person charged with an offence under this paragraph to prove that he took all reasonable steps for securing compliance with paragraph 2, 3 or 5(2), as the case may be.

---
Source: https://www.legislation.gov.uk/ukpga/1985/6/schedule/21C/paragraph/7 (the official version)
Page: https://openlegislation.uk/companies-act-1985/schedule-21C/paragraph-7
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.