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The Water Industry (Special Administration) (England and Wales) Rules 2024

S.I. 2024/229 · Made 26 February 2024

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Insolvency, England And Wales

Water Industry, England And Wales

Made 26th February 2024

Laid before Parliament 27th February 2024

Coming into force 19th March 2024

The Lord Chancellor, in the exercise of the powers conferred by section 411 of the Insolvency Act 1986f1 as applied by regulation 49 of the Water Industry (Special Administration) Regulations 2024f2 for the purpose of giving effect to provision made by or under sections 23 to 26 of the Water Industry Act 1991f3, makes these Rules.

The only provision made by these Rules is provision applying rules made under section 411 of the Insolvency Act 1986, with modifications, for the purposes of provision made by or under sections 23 to 26 of the Water Industry Act 1991f4.

The Secretary of State concurs in the making of these Rules.

The Chancellor of the High Court, by the authority of the Lady Chief Justice under section 411(7) of the Insolvency Act 1986, concurs in the making of these Rules in so far as they affect court procedure.

Annotations to the whole text

Footnotes

f1

1986 c. 45. Section 411 was amended by section 15(1) of, and paragraph 188(2) of Schedule 4 to, the Constitutional Reform Act 2005 (c. 4), sections 125 and 160 of the Banking Act 2009 (c. 1), section 2(1) of, and paragraph 22(2) of Schedule 3 to, the Corporate Insolvency and Governance Act 2020 (c. 12), S.I. 2002/1037, 2007/2194, 2009/805 and 1941, 2017/702 and 2019/146.

f2

S.I. 2024/205.

f3

1991 c. 56.

f4

The requirement under section 413(2) of the Insolvency Act 1986 to consult the Committee established under section 10 of the Insolvency Act 1976 (c. 60) does not apply in relation to Rules which contain a statement to this effect. Section 413(2) was amended by paragraph 78(2) of Schedule 25 to the Water Act 1989 (c. 15).

Contents

  1. Part 1: INTRODUCTORY
  2. 1Citation and commencement
  3. 2Extent and application
  4. 3Revocation
  5. 4Interpretation
  6. 5Application of certain rules of the 2016 Rules with modifications
  7. Part 2: SCOPE, INTERPRETATION, TIME AND RULES ABOUT DOCUMENTS APPLICATION OF PART 1 OF THE 2016 RULES
  8. 6Defined terms (rule 1.2)
  9. 7Information required to identify persons and proceedings etc. (rule 1.6)
  10. 8Variations from prescribed contents (rule 1.9)
  11. 9Standard content of all notices (rule 1.11)
  12. 10Gazette notices relating to a company (rule 1.12)
  13. 11The Gazette: evidence, variations and errors (rule 1.14)
  14. 12Registrar of companies: covering notices (rule 1.20)
  15. 13Standard contents of all documents (rule 1.21)
  16. 14Standard contents of documents relating to the office of office-holders (rule 1.22)
  17. 15Standard contents of documents relating to other events (rule 1.27)
  18. 16Standard contents of notices to be delivered to persons other than the registrar of companies (rule 1.28)
  19. 17Standard contents of all notices (rule 1.29)
  20. 18Standard contents of notices relating to the office of office-holders (rule 1.30)
  21. 19Standard contents and authentication of applications to the court under Parts A1 to 11 of the Act (rule 1.35)
  22. 20Application of Chapter (rule 1.36)
  23. 21Delivery to the creditors and opting out (rule 1.37)
  24. 22Creditor’s election to opt out (rule 1.38)
  25. 23Office-holder to provide information to creditors on opting out (rule 1.39)
  26. 24Electronic delivery of documents (rule 1.45)
  27. 25Use of website by office-holder to deliver a particular document (sections 246B and 379B) (rule 1.49)
  28. 26Retention period for documents made available on websites (rule 1.51)
  29. 27Proof of delivery of documents (rule 1.52)
  30. 28Delivery of proofs and details of claims (rule 1.53)
  31. 29Right to copies of documents (rule 1.54)
  32. 30Charges for copies of documents provided by the office-holder (rule 1.55)
  33. 31Offence in relation to inspection of documents (rule 1.56)
  34. 32Right to list of creditors (rule 1.57)
  35. 33Confidentiality of documents: grounds for refusing inspection (rule 1.58)
  36. Part 3: ADMINISTRATION: APPLICATION OF PART 3 OF THE 2016 RULES
  37. 34Proposed administrator’s statement and consent to act (rule 3.2)
  38. 35Administration application (paragraph 12 of Schedule B1)
  39. 36Witness statement in support of administration application (rule 3.6)
  40. 37Service of application (rule 3.8)
  41. 38The order (rule 3.13)
  42. 39Notice of administration order (rule 3.15)
  43. 40Publication of administrator’s appointment (rule 3.27)
  44. 41Moratorium (rule 3.27A)
  45. 42Statement of affairs: release from requirement and extension of time (rule 3.33)
  46. 43Administrator’s proposals: additional content (rule 3.35)
  47. 44Administrator’s proposals: statement of pre-administration costs (rule 3.36)
  48. 45Advertising administrator’s proposals and notices of extension of time for delivery of proposals (paragraph 49 of Schedule B1) (rule 3.37)
  49. 46Administrator’s proposals: revision (rule 3.42)
  50. 47Creditors’ decision for the nomination of alternative liquidator (rule 3.42A)
  51. 48Order of priority (rule 3.51)
  52. 49Pre-administration costs (rule 3.52)
  53. 50Administrator’s application for order ending administration (paragraph 79 of Schedule B1) (rule 3.57)
  54. 51Notice by administrator of court order (rule 3.59)
  55. 52Moving from administration to creditors’ voluntary winding up (paragraph 83 of Schedule B1) (rule 3.60)
  56. 53Moving from administration to dissolution (paragraph 84 of Schedule B1) (rule 3.61)
  57. 54Notice of intention to resign (rule 3.63)
  58. 55Notice of resignation (paragraph 87 of Schedule B1) (rule 3.64)
  59. 56Application to court to remove administrator from office (rule 3.65)
  60. 57Notice of vacation of office when administrator ceases to be qualified to act (rule 3.66)
  61. 58Deceased administrator (rule 3.67)
  62. 59Application to replace (rule 3.68)
  63. 60Appointment of replacement or additional administrator (rule 3.69)
  64. Part 4: COURT PROCEDURE AND PRACTICE: APPLICATION OF PART 12 OF THE 2016 RULES
  65. 61Court rules and practice to apply (rule 12.1)
  66. 62Preliminary (rule 12.6)
  67. 63Service or delivery of application (rule 12.9)
  68. 64Special administrator’s solicitor (rule 12.13A)
  69. 65Applications under section 176A(5) to disapply section 176A (rule 12.14)
  70. 66Notice of an order under section 176A(5) (rule 12.16)
  71. 67Application of this sub-division and interpretation (rule 12.17)
  72. 68Contents of application (rule 12.18)
  73. 69Procedure for examination (rule 12.20)
  74. 70Costs of proceedings under sections 236, 251N and 366 (rule 12.22)
  75. 71Evidence provided by the official receiver, an insolvency practitioner or a special manager (rule 12.29)
  76. 72General power of transfer (rule 12.30)
  77. 73Proceedings commenced in the wrong court (rule 12.31)
  78. 74Procedure following order for transfer (rule 12.33)
  79. 75The court file (rule 12.39)
  80. 76Requirement to assess costs by the detailed procedure (rule 12.42)
  81. 77Procedure where detailed assessment is required (rule 12.43)
  82. 78Awards of costs against an office-holder, the adjudicator or the official receiver (rule 12.47)
  83. 79Applications for costs (rule 12.48)
  84. 80Costs and expenses of petitioners and other specified persons (rule 12.49)
  85. 81Orders enforcing compliance (rule 12.52)
  86. 82Warrants (general provisions) (rule 12.53)
  87. 83Warrants under sections 236, 251N and 366 (rule 12.55)
  88. 84Appeals and reviews of court orders in corporate insolvency (rule 12.59)
  89. 85Shorthand writers: nomination etc. (rule 12.65)
  90. Part 5: CLAIMS BY AND DISTRIBUTIONS TO CREDITORS IN ADMINISTRATION: APPLICATION OF PART 14 OF THE 2016 RULES
  91. 86Application of Part 14 and interpretation (rule 14.1)
  92. 87Provable debts (rule 14.2)
  93. 88Proving a debt (rule 14.3)
  94. 89Requirements for proof (rule 14.4)
  95. 90Costs of proving (rule 14.5)
  96. 91Allowing inspection of proofs (rule 14.6)
  97. 92Appeal against decision on proof (rule 14.8)
  98. 93Office-holder not liable for costs under rule 14.8 (rule 14.9)
  99. 94Exclusion of proof by the court (rule 14.11)
  100. 95Administration and winding up by the court: debts of insolvent company to rank equally (rule 14.12)
  101. 96Administration and winding up: division of unsold assets (rule 14.13)
  102. 97Moratorium, administration and winding up: estimate of value of debt (rule 14.14)
  103. 98Secured creditor: value of security (rule 14.15)
  104. 99Secured creditor: surrender for non-disclosure (rule 14.16)
  105. 100Secured creditor: redemption by office-holder (rule 14.17)
  106. 101Secured creditor: test of security’s value (rule 14.18)
  107. 102Interest (rule 14.23)
  108. 103Administration: mutual dealings and set-off (rule 14.24)
  109. 104Gazette notice of intended first dividend or distribution (rule 14.28)
  110. 105Individual notices to creditors etc. of intended dividend or distribution (rule 14.29)
  111. 106Contents of notice of intention to declare a dividend or make a distribution (rule 14.30)
  112. 107Further contents of notice to creditors owed small debts etc. (rule 14.31)
  113. 108Notice of declaration of a dividend (rule 14.35)
  114. 109Contents of last notice about dividend (administration, winding up and bankruptcy) (rule 14.37)
  115. 110Sole or final dividend (rule 14.38)
  116. 111Administration and winding up: provisions as to dividends (rule 14.39)
  117. 112Supplementary provisions as to dividends and distributions (rule 14.40)
  118. 113Administration and winding up: non-payment of dividend (rule 14.45)
  119. Part 6: DECISION-MAKING: APPLICATION OF PART 15 OF THE 2016 RULES
  120. 114Application of Part (rule 15.1)
  121. 115Interpretation (rule 15.2)
  122. 116The prescribed decision procedures (rule 15.3)
  123. 117Physical meetings (rule 15.6)
  124. 118Deemed consent (sections 246ZF and 379ZB) (rule 15.7)
  125. 119Notices to creditors of decision procedure (rule 15.8)
  126. 120Voting in a decision procedure (rule 15.9)
  127. 121Notice of decision procedures or of seeking deemed consent: when and to whom delivered (rule 15.11)
  128. 122Gazetting and advertisement of meeting (rule 15.13)
  129. 123Notice to company officers, bankrupts etc. in respect of meetings (rule 15.14)
  130. 124Chair at meetings (rule 15.21)
  131. 125The chair – attendance, interventions and questions (rule 15.22)
  132. 126Adjournment by chair (rule 15.23)
  133. 127Adjournment in absence of chair (Rule 15.25)
  134. 128Proofs in adjournment (rule 15.26)
  135. 129Creditors’ voting rights (rule 15.28)
  136. 130Calculation of voting rights (rule 15.31)
  137. 131Calculation of voting rights: special cases (rule 15.32)
  138. 132Requisite majorities (rule 15.34)
  139. 133Appeals against decisions under this Chapter (rule 15.35)
  140. 134Record of a decision (Rule 15.40)
  141. 135Company meetings (rule 15.41)
  142. 136Indication to excluded person (rule 15.45)
  143. 137Complaint (rule 15.46)
  144. Part 7: PROXIES AND CORPORATE REPRESENTATION: APPLICATION OF PART 16 OF THE 2016 RULES
  145. 138Use of proxies by the chair (rule 16.5)
  146. 139Right of inspection and retention of proxies (rule 16.6)
  147. 140Instrument conferring authorisation to represent corporation (rule 16.9)
  148. Part 8: REPORTING BY, AND REMUNERATION OF, OFFICE-HOLDERS: APPLICATION OF PART 18 OF THE 2016 RULES
  149. 141Reporting by the office-holder (rule 18.2)
  150. 142Contents of progress reports in administration, winding up and bankruptcy (rule 18.3)
  151. 143Progress reports in administration: timing (rule 18.6)
  152. 144Administration, creditors’ voluntary liquidation and compulsory winding up: reporting distribution of property to creditors under rule 14.13 (rule 18.10)
  153. 145Remuneration principles (rule 18.16)
  154. 146Remuneration of joint office-holders (rule 18.17)
  155. 147Remuneration: application to the court to fix the basis (rule 18.23)
  156. 148Remuneration: new administrator, liquidator or trustee (rule 18.31)
  157. Part 9: PERMISSION TO ACT AS DIRECTOR ETC. OF COMPANY WITH A PROHIBITED NAME (SECTION 216): APPLICATION OF PART 22 OF THE 2016 RULES
  158. 149First excepted case (rule 22.4)
  159. Signature
  160. Schedule Application of the 2016 Rules for the purposes of these Rules
  161. Explanatory note