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Rule 4.127 Fixing of remunerationI1

England and Wales

Changes not yet applied. Later legislation changes this provision in ways not yet written into the text below:

  • rule 4.127(5) words substituted by SI 2009/356 rule 98(3) (as amended) by Bank Insolvency 2010 rule 43
  • rule 4.54(5-CVL) substituted for rule 4.54(5) by Insolvency 2010 Sch. 1 para. 179(5)
(1)

The liquidator is entitled to receive remuneration for his services as such.

(2)

The remuneration shall be fixed either—

(a)

as a percentage of the value of the assets which are realised or distributed, or of the one value and the other in combination, or

(b)

by reference to the time properly given by the insolvency practitioner (as liquidator) and his staff in attending to matters arising in the winding up.

(3)

Where the liquidator is other than the official receiver, it is for the liquidation committee (if there is one) to determine whether the remuneration is to be fixed under paragraph (2)(a) or (b) and, if under paragraph (2)(a), to determine any percentage to be applied as there mentioned.

(4)

In arriving at that determination, the committee shall have regard to the following matters—

(a)

the complexity (or otherwise) of the case,

(b)

any respects in which, in connection with the winding up, there falls on the insolvency practitioner (as liquidator) any responsibility of an exceptional kind or degree,

(c)

the effectiveness with which the insolvency practitioner appears to be carrying out, or to have carried out, his duties as liquidator, and

(d)

the value and nature of the assets with which the liquidator has to deal.

(5)

If there is no liquidation committee, or the committee does not make the requisite determination, the liquidator's remuneration may be fixed (in accordance with paragraph (2)) by a resolution of a meeting of creditors; and paragraph (4) applies to them as it does to the liquidation committee.

F1(6)

Where the liquidator is not the official receiver and his remuneration is not fixed as above, the liquidator shall be entitled to remuneration fixed in accordance with the provisions of Rule 4.127A.

Annotations

Textual amendments

F1

Rule 4.127(6) substituted (1.4.2004) by The Insolvency (Amendment) Rules 2004 (S.I. 2004/584), rules 1(2), 14 (with rule 3)

Commencement

I1

Rule 4.127 in force at 29.12.1986, see rule 0.1