The Companies (Reduction of Capital) (Creditor Protection) Regulations 2008

• Citation: S.I. 2008/719
• Sections: 4

Section 1 Citation and commencement

(1) These Regulations may be cited as the Companies (Reduction of Capital) (Creditor Protection) Regulations 2008.

(2) These Regulations come into force on 6th April 2008.

Section 2 Amendment of the Companies Act 1985

In section 136(3) of the Companies Act 1985 (application to court for order confirming reduction of share capital: creditors entitled to object)—

(a) after “who” insert “— (a)”, and

(b) after “admissible in proof against the company” insert—

, and

(b) can show that there is a real likelihood that the reduction would result in the company being unable to discharge his debt or claim when it fell due,

Section 3 Amendment of the Companies (Northern Ireland) Order 1986

In section 146(3) of the Companies (Northern Ireland) Order 1986 (application to court for order confirming reduction of share capital: creditors entitled to object)—

(a) after “who” insert “— (a)”, and

(b) after “admissible in proof against the company,” insert—

and

(b) can show that there is a real likelihood that the reduction would result in the company being unable to discharge his debt or claim when it fell due,

Section 4 Transitional provision

The amendments made by regulations 2 and 3 do not apply where the application to the court for an order confirming the proposed reduction of share capital was made before 6th April 2008.