{
  "url": "https://openlegislation.uk/companies-act-2006/section-206",
  "json_url": "https://openlegislation.uk/companies-act-2006/section-206.json",
  "legislation": "ukpga/2006/46",
  "legislation_title": "Companies Act 2006",
  "legislation_url": "https://openlegislation.uk/companies-act-2006",
  "path": "section/206",
  "kind": "section",
  "number": "206",
  "heading": "Exception for expenditure in connection with regulatory action or investigation",
  "text": "Approval is not required under section 197, 198, 200 or 201 (requirement of members' approval for loans etc) for anything done by a company—\n(a) to provide a director of the company or of its holding company with funds to meet expenditure incurred or to be incurred by him in defending himself—\n(i) in an investigation by a regulatory authority, or\n(ii) against action proposed to be taken by a regulatory authority,\nin connection with any alleged negligence, default, breach of duty or breach of trust by him in relation to the company or an associated company, or\n(b) to enable any such director to avoid incurring such expenditure.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "C",
      "label": "C1",
      "text": "Ss. 197-214 modified (retrospective to 30.3.2009 at 8.00 a.m.) by The Amendments to Law (Resolution of Dunfermline Building Society) Order 2009 (S.I. 2009/814), arts. 1(2), 7, Sch. para. 2(i)"
    },
    {
      "type": "C",
      "label": "C2",
      "text": "Ss. 197-214 modified (1.3.2016) by The NRAM plc (formerly Northern Rock plc) Consequential and Supplementary Provisions Order 2016 (S.I. 2016/114), arts. 1(1), 7(1), (3), Sch. para. 1(i)"
    },
    {
      "type": "C",
      "label": "C3",
      "text": "Ss. 197-214 modified (16.7.2026) by The Modification of the Law (British Steel Limited Property Transfer) Regulations 2026 (S.I. 2026/833), regs. 1(2), 6(2), Sch. para. 1"
    },
    {
      "type": "C",
      "label": "C4",
      "text": "Ss. 197-214 modified (22.2.2008) by The Northern Rock plc Transfer Order 2008 (S.I. 2008/432), art. 17(1), Sch. para. 2(i)"
    },
    {
      "type": "C",
      "label": "C5",
      "text": "Ss. 197-214 modified (8.00 a.m. on 29.9.2008) by the The Bradford & Bingley plc Transfer of Securities and Property etc. Order 2008 (S.I. 2008/2546), art. 13(1)(3), Sch. 1 para. 2(i)"
    },
    {
      "type": "C",
      "label": "C6",
      "text": "Ss. 197-214 modified (9.30 a.m. on 7.10.2008) by The Heritable Bank plc Transfer of Certain Rights and Liabilities Order 2008 (S.I. 2008/2644), art. 26, Sch. 2 para. 2(i)"
    },
    {
      "type": "I",
      "label": "I1",
      "text": "S. 206 wholly in force at 1.10.2007; s. 206 not in force at Royal Assent see s. 1300; s. 206 in force at 1.10.2007 by S.I. 2007/2194, art. 2(1)(d) (with saving in art. 12 and subject to transitional adaptations specified in Sch. 1 and with transitional provisions and savings in Sch. 3)"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/2006/46/section/206",
    "retrieved_at": "2026-10-29T09:13:40.060156+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}