Regulation 19 Cancellation of registration of a product line as a “low volume line”
The registration of a product line as a low volume line under regulation 18 ceases to have effect—
at the end of the scheme year in relation to which the line is registered as a low volume line, or
if earlier, at the end of the day on which the deposit management organisation cancels the registration.
A scheme producer must, in relation to the registration of a product line as a low volume line, notify the deposit management organisation as soon as possible that—
the producer intends to exceed the relevant threshold in regulation 18(1) (“the size threshold”) in relation to that product line, or
has exceeded the size threshold in relation to that product line.
The deposit management organisation—
must cancel the registration of a product line as a low volume line before the end of the relevant scheme year, if the scheme producer has given a notification to the deposit management organisation under paragraph (2)(a) or (b);
may cancel the registration of a product line as a low volume line before the end of the relevant scheme year if the deposit management organisation is satisfied that the size threshold has been exceeded in relation to that product line, otherwise than following a notification under paragraph (2)(b).
Where the deposit management organisation proposes to cancel a product line’s registration as a low volume line under paragraph (3)(b), the deposit management organisation must give a notice (a “proposal notice”) to the relevant scheme producer.
A proposal notice must be in writing and must—
state the reasons for which the deposit management organisation is proposing to cancel the registration,
specify the day on which the registration will be cancelled, if the proposal is made final, and
specify—
the form and manner in which any representations are to be made to the deposit management organisation about the proposal, and
the period within which such representations must be made, which must not be less than 28 days beginning with the date on which the scheme producer receives the proposal notice.
The deposit management organisation—
must consider any representations made to it in the form and manner, and by the date, specified for the purposes of paragraph (5)(c);
may consider any representations which are not made in the form and manner, or by the date, specified for the purposes of paragraph (5)(c).
Where the deposit management organisation decides, following consideration of any representations made by the relevant scheme producer, not to cancel the product line’s registration as a low volume line, the deposit management organisation must give the scheme producer a notice in writing of its decision.
Where—
the deposit management organisation decides, following consideration of any representations made by the relevant scheme producer, to proceed with the cancellation of the product line’s registration as a low volume line, or
the relevant scheme producer does not make any representations to the deposit management organisation,
the deposit management organisation must give the relevant scheme producer notice of the cancellation of the product line’s registration as a low volume line (an “LVL cancellation notice”).
An LVL cancellation notice must be in writing and must state—
that the relevant product line’s registration as a low volume line is being cancelled and give the reasons why;
the date when the cancellation of the registration will take effect;
that the relevant scheme producer has a right under regulation 76 to ask the deposit management organisation to review its decision.
If the scheme producer exercises the right referred to in paragraph (9)(c), the LVL cancellation notice will not take effect pending that review of the decision.
The date specified for the purposes of paragraph (9)(b) must not be before the end of the 28-day period specified in regulation 76.