Deregulation Bill (HL Bill 33)

(6) In subsection (4)(a) (offence of failing to comply with obligation to submit
statement of affairs), for “the obligation imposed by” substitute “an
obligation imposed under”.

After-acquired property of bankrupt

16 (1) 5Section 307 (power of trustee in bankruptcy to claim, for the bankrupt’s
estate, property which has been acquired by, or has devolved upon, the
bankrupt after commencement of the bankruptcy) is amended as follows.

(2) In subsection (3) (property to vest in trustee on service of notice on
bankrupt), for “Subject to the next subsection” substitute “Subject to
10subsections (4) and (4A)”.

(3) In subsection (4) (trustee not entitled to remedy against certain persons and
certain bankers)—

(a) in the words before paragraph (a), after “service” insert “on the
bankrupt”;

(b) 15omit paragraph (b) (which makes provision about bankers) and the
“or” at the end of paragraph (a);

(c) in the words after paragraph (b)—

(i) omit “or transaction”;

(ii) omit “or banker” (in both places where they occur).

(4) 20After subsection (4) insert—

“(4A) Where a banker enters into a transaction before service on the banker
of a notice under this section (and whether before or after service on
the bankrupt of a notice under this section) the trustee is not in
respect of that transaction entitled by virtue of this section to any
25remedy against the banker.

This subsection applies whether or not the banker has notice of the
bankruptcy.”

Part 6 Authorisation of insolvency practitioners

17 30Part 13 of the Insolvency Act 1986 (insolvency practitioners and their
qualification) is amended in accordance with paragraphs 18 to 20.

Repeal of provision for authorisation of nominees and supervisors in relation to voluntary
arrangements

18 Omit section 389(1A) (acting without qualification not an offence if
35authorised under section 389A).

19 Omit section 389A (authorisation of nominees and supervisors).

20 (1) The following repeals are made in consequence of paragraphs 18 and 19.

(2) In the Insolvency Act 1986—

(a) in section 1(2), omit “or authorised to act as nominee,”;

(b) 40in section 2(4), omit “, or authorised to act as nominee,”;

(c) in section 4(2), omit “or authorised to act as nominee,”;

(d) in section 7(5), omit “or authorised to act as supervisor,”;

(e) in Schedule A1—

(i) in paragraph 28(1), omit “, or authorised to act as nominee,”;

(ii) in paragraph 31(2), omit “, or authorised to act as nominee,”;

(iii) in paragraph 33(1), omit “, or authorised to act as nominee,”;

(iv) 5in paragraph 39(6), omit “, or authorised to act as
supervisor,”.

(3) In the Insolvency Act 2000, omit section 4(3) and (4).

(4) In Schedule 6 to the Mental Capacity Act 2005, omit paragraph 31(2).

Repeal of provision for authorisation of insolvency practitioners to be granted by competent
10authority

21 Omit sections 392 to 398 and Schedule 7 (procedure for authorisation by
competent authority, including provision for reference to Insolvency
Practitioners Tribunal).

22 (1) The following repeals are made in consequence of paragraph 21.

(2) 15In the Parliamentary Commissioner Act 1967, in Schedule 4, omit the entry
for the Insolvency Practitioners Tribunal.

(3) In the Northern Ireland Assembly Disqualification Act 1975, in Part 3 of
Schedule 1, omit the entry for any member of the Insolvency Practitioners
Tribunal in receipt of remuneration.

(4) 20In the Companies Act 1985, in Schedule 15D, omit paragraph 37.

(5) In the Insolvency Act 1986—

(a) omit section 415A(2);

(b) in Schedule 10, omit the entry for paragraph 4(3) of Schedule 7.

(6) In the Insolvency (Northern Ireland) Order 1989 (S.I. 1989/2405 (N.I. 19)S.I. 1989/2405 (N.I. 19)),
25omit Article 349(2)(c) and the “or” before it.

(7) In the Courts and Legal Services Act 1990, in Schedule 10, omit paragraph
67.

(8) In the Tribunals and Inquiries Act 1992—

(a) in Part 1 of Schedule 1, omit the entry for insolvency practitioners;

(b) 30in Schedule 3, omit paragraph 19.

(9) In the Railways Act 1993, omit section 145(2)(b)(ix) (but not the “or”
following it).

(10) In the Greater London Authority Act 1999, omit section 235(2)(c)(ix) (but not
the “or” following it).

(11) 35In the Utilities Act 2000, omit section 105(5)(j).

(12) In the Transport Act 2000, in Schedule 9, omit paragraph 3(2)(l).

(13) In the Enterprise Act 2002, omit section 270(3).

(14) In the Constitutional Reform Act 2005, in Part 3 of Schedule 14, omit the
entry for a member of the Insolvency Practitioners Tribunal panel.

(15) 40In the Companies Act 2006—

(a) in Schedule 2, in Part 2, in Section (A) (United Kingdom), omit
paragraph 18;

(b) in Schedule 11A, omit paragraph 64.

(16) In the Tribunals, Courts and Enforcement Act 2007—

(a) 5in Part 4 of Schedule 6, omit the entry for the Insolvency Practitioners
Tribunal;

(b) in Schedule 10, omit paragraph 19.

(17) In the Civil Aviation Act 2012, in Schedule 6, in paragraph 4(2), omit the
entry for the Insolvency Practitioners Tribunal.

23 (1) 10For the purposes of this paragraph—

• the “commencement date” is the date on which paragraph 21 of this
  Schedule comes into force;

• the “transitional period” is the period of 1 year beginning with the
  commencement date.

(2) 15Where, immediately before the commencement date, a person holds an
authorisation granted under section 393 of the Insolvency Act 1986, section
393(3A) to (6) of that Act together with, for the purposes of this sub-
paragraph, paragraphs (a) and (b) of section 393(2) of that Act (which are
repealed by paragraph 21) continue to have effect in relation to the person
20and the authorisation during the transitional period.

(3) During the transitional period, a person to whom sub-paragraph (2) applies
is to be treated for the purposes of Part 13 of the Insolvency Act 1986 as fully
authorised under section 390A of that Act (as inserted by section 18(3) of this
Act) to act as an insolvency practitioner unless and until the person’s
25authorisation is (by virtue of sub-paragraph (2)) withdrawn.

(4) Where, immediately before the commencement date, a person has applied
under section 392 of the Insolvency Act 1986 for authorisation to act as an
insolvency practitioner and the application has not been granted, refused or
withdrawn, sections 392(4) to (7) and 393(1) and (2) of that Act (which are
30repealed by paragraph 21) continue to have effect in relation to the person
and the application during the transitional period.

(5) Where, during the transitional period, an authorisation is (by virtue of sub-
paragraph (4)) granted under section 393 of the Insolvency Act 1986, sub-
paragraphs (2) and (3) above apply as if—

(a) 35the authorisation had been granted immediately before the
commencement date;

(b) in sub-paragraph (2), the reference to section 393(3A) to (6) were a
reference to section 393(4) to (6).

(6) For the purposes of sub-paragraphs (2) and (4), sections 394 to 398 of, and
40Schedule 7 to, the Insolvency Act 1986 (which are repealed by paragraph 21)
continue to have effect during the transitional period.

Part 7 Liabilities of administrators and administrative receivers of companies and
preferential debts of companies and individuals

Treatment of liabilities relating to contracts of employment

24 5The Insolvency Act 1986 is amended in accordance with paragraphs 25 to 28.

25 In section 19 (vacation of office by administrator), as continued in force by
virtue of section 249(1) of the Enterprise Act 2002 (special administration
regimes), omit subsection (10) (what “wages or salary” includes for the
purposes of subsection (9)(a)).

26 10In section 44 (receivership: agency and liability for contracts), omit
subsection (2D) (what “wages or salary” includes for the purposes of
subsection (2C)(a)).

27 In Schedule B1 (administration of companies), in paragraph 99 (vacation of
office by administrator: charges and liabilities), omit sub-paragraph (6)(d)
15(what “wages or salary” includes for the purposes of sub-paragraph (5)(c))
but not the “and” following it.

28 In Schedule 6 (categories of preferential debt), in paragraph 15 (what “wages
or salary” includes for the purposes of determining what is a category 5
preferential debt), omit paragraph (b) and the “and” before it.

20Part 8 Requirements of company law: proxies

Proxies at a poll taken 48 hours or less after it was demanded

29 In section 327(2) of the Companies Act 2006 (which regulates the period of
notice required for the appointment of a proxy), omit paragraph (c).

30 25In section 330(6) of that Act (which regulates the period of notice required
for the termination of a proxy’s authority), omit paragraph (c).

Section 27

SCHEDULE 7 Ascertainment of rights of way

Part 1 30Wildlife and Countryside Act 1981

1 The Wildlife and Countryside Act 1981 is amended as follows.

2 In section 53 (duty to keep definitive map and statement under continuous
review) —

(a) in subsection (3)(c)(i), omit “or is reasonably alleged to subsist”;

(b) 35after subsection (3)(c)(i) insert—

“(ia) in the case of an authority in Wales, that a
right of way which is not shown in the map

and statement is reasonably alleged to subsist
over land in the area to which the map relates,
being such a right of way as is mentioned in
sub-paragraph (i);”.

3 5After that section insert—

“53ZA Modifications arising from administrative errors

(1) The Secretary of State may by regulations provide for Schedules 13A
and 14A to apply with prescribed modifications in relation to the
making of orders under section 53(2) in cases where it appears to a
10surveying authority in England (whether or not on an application
under section 53(5)) that—

(a) it is requisite to make a modification of a definitive map and
statement in consequence of an event mentioned in section
53(3)(c);

(b) 15the need for the modification has arisen because of an
administrative error; and

(c) both the error and the modification needed to correct it are
obvious.

(2) The Secretary of State may by regulations provide for Schedule 14A
20to apply with prescribed modifications in cases where an order
under section 53(2) is made in accordance with regulations under
subsection (1).

(3) Regulations under this section shall be made by statutory instrument
which shall be subject to annulment in pursuance of a resolution of
25either House of Parliament.

(4) At any time when regulations under subsection (1) are in force, a
surveying authority shall, in deciding whether paragraphs (a) to (c)
of that subsection apply in a particular case (and, accordingly,
whether the provision made by the regulations applies in relation to
30the making of an order under section 53(2) in that case), have regard
to any guidance given by the Secretary of State.

(5) In this section, “prescribed” means prescribed by regulations.”

4 In section 53B (register of applications under section 53), after subsection (4)
insert—

“(4A) 35Regulations may provide that subsection (1) does not apply, with
respect to applications under section 53(5) made to an authority in
England, or to any prescribed description of such applications,
unless the authority serve notice under paragraph 2(4)(b) of
Schedule 13A in relation to such an application.

(4B) 40The making of regulations under subsection (4A) does not prevent
an authority including in the register any information that they
would be required to include in it had the regulations not been
made.”

5 After section 54A insert—

“54B Modifications of definitive map and statement by consent: England

(1) This section applies where it appears to a surveying authority in
England (whether or not on an application under section 53(5)) that
5—

(a) it might be requisite to make a modification to a definitive
map and statement in consequence of the occurrence of one
or more events falling within section 53(3)(b) or (c)(i) or (ii);

(b) the basis for the authority’s view that it might be requisite is
10documentary evidence of the existence of a right of way
before 1949; and

(c) in a case where the authority form that view following an
application, the authority have served notice under
paragraph 2(4)(b) of Schedule 13A that they are considering
15the application.

(2) The authority shall ascertain whether every owner of the land to
which the modification relates consents to the making of an order
under section 53(2) or would so consent if the authority made one or
more of the following orders (“special orders”)—

(a) 20a diversion order;

(b) an order altering the width of the path or way;

(c) an order imposing a new limitation or condition affecting the
right of way.

(3) A diversion order is an order which, for the purpose of diverting the
25line of the path or way or part of it—

(a) creates any such new path or way (of the same kind) as
appears to the authority appropriate; and

(b) extinguishes any public right of way over so much of the path
or way as appears to the authority to be appropriate.

(4) 30If every owner consents to the making of an order under section 53(2)
(without the making of a special order), the authority—

(a) may make the order under section 53(2); and

(b) if they do so, shall include in the order a statement that it is
made with the consent of every owner.

(5) 35If an owner would consent to the making of an order under section
53(2) only if one or more special orders are made, and the other
owners (if any) do not object to the making of such an order or
orders, the authority may make the special order or orders in
question and, if they do so, shall—

(a) 40make an order under section 53(2);

(b) include in that order a statement that it is made with the
consent of every owner; and

(c) combine any special orders and the order under section 53(2)
in a single document.

(6) 45Before making a diversion order, the authority must—

(a) be satisfied that the path or way will not be substantially less
convenient to the public in consequence of the diversion; and

(b) have regard to any guidance given by the Secretary of State.

(7) As soon as reasonably practicable after an authority are satisfied that
they have power under subsection (4) or (5) to make an order under
section 53(2), the authority must—

(a) give notice to each owner that they are satisfied that they
5have that power; and

(b) include in the notice an explanation of the effect of subsection
(9) of this section.

(8) An order under section 53(2) which includes a statement that it is
made with the consent of every owner is referred to in this Act as a
10modification consent order.

(9) An authority must determine whether to make a modification
consent order before the end of the period of 12 months beginning
with—

(a) in the case mentioned in subsection (1)(c), the day on which
15the authority served notice under paragraph 2(4)(b) of
Schedule 13A in respect of the application;

(b) in any other case, the day on which notice is given under
subsection (7).

(10) The Secretary of State may by order provide that, in cases or
20circumstances specified in the order, subsection (9) applies as if for
the period of 12 months mentioned in that subsection there were
substituted a longer period specified in the order.

(11) An order under subsection (10) shall be made by statutory
instrument which shall be subject to annulment in pursuance of a
25resolution of either House of Parliament.

54C Modifications of definitive map and statement by consent:
supplemental

(1) An authority may not make a diversion order under section 54B(5)
so as to alter a point of termination of a path or way—

(a) 30if that point is not on a highway; or

(b) (where it is on a highway) otherwise than to another point
which is on the same highway, or a highway connected with
it, and which is substantially as convenient to the public.

(2) An authority may not make such an order so as to alter the line of a
35path or way such that it falls on land owned by a person whose
consent was not sought under section 54B(2), unless that other
person consents to the alteration.

(3) An authority which make a modification consent order are
responsible, as from the date when the order takes effect, for
40maintaining any path or way, or any part of a path or way, which is
shown in a definitive map and statement in consequence of the
making of the order or any special order combined with it under
section 54B(5) (including so much of a path or way as has been
created by the making of a special order altering the width of an
45existing path or way).

(4) Where it appears to the authority—

(a) that if a modification consent order were to take effect, they
would be responsible under subsection (3) for the
maintenance of a path or way, or part of a path or way, and

(b) that work is required to be done to bring the path or way, or
5the part, into a fit condition for use by the public,

the authority may not confirm the order under Schedule 14A until
they are satisfied that the work has been carried out.”

Part 2 New Schedule 13A to the 1981 Act

6 10After Schedule 13 to the Wildlife and Countryside Act 1981 insert—

“Schedule 13A Applications for certain orders under Part 3: England

Form of applications

1 (1) An application must be made in the prescribed form and be
accompanied by—

(a) 15a map drawn to the prescribed scale and showing the way
or ways to which the application relates; and

(b) copies of any documentary evidence (including statements
of witnesses) which the applicant wishes to adduce in
support of the application, unless the authority have
20informed the applicant that the authority already have
access to the evidence in question.

(2) Regulations under sub-paragraph (1) must provide for an
application to include an explanation as to why the applicant
believes that a definitive map and statement should be modified
25in consequence of the occurrence of one or more events falling
within section 53(3)(b) or (c).

Preliminary assessment and notice of applications

2 (1) An authority must, before the end of the period of 3 months
beginning with the day on which they receive an application,
30decide whether the application, and any documentary evidence
which the applicant relies on in support of it, show that there is a
reasonable basis for the applicant’s belief that a definitive map
and statement should be modified in consequence of the
occurrence of one or more events falling within section 53(3)(b) or
35(c).

(2) In deciding whether there is such a basis, the authority must have
regard to any guidance given by the Secretary of State.

(3) If they decide that there is no such basis, they must, before the end
of that period of 3 months, inform the applicant of their decision
40and the reasons for it.

(4) If they decide that there is such a basis, they must, before the end
of that period—

(a) inform the applicant; and

(b) serve a notice on every owner and occupier of any land to
which the application relates stating that an application
has been made and the authority are considering it.

(5) 5If, after reasonable inquiry has been made, the authority are
satisfied that it is not practicable to ascertain the name or address
of an owner or occupier of any land to which the application
relates, the authority may direct that the notice required to be
served on the person by sub-paragraph (4) may be served by
10addressing it to the person by the description “owner” or
“occupier” of the land (describing it) and by affixing it to some
conspicuous object or objects on the land.

Failure by authority to conduct preliminary assessment

3 (1) If an authority have not assessed an application in accordance
15with paragraph 2 before the end of the period of 3 months
beginning with the day on which they received the application,
the applicant may give notice to the authority in the prescribed
form of an intention to apply to a magistrates’ court for an order
under this paragraph.

(2) 20The applicant may apply to a magistrates’ court for an order under
this paragraph at any time—

(a) after the end of the period of 1 month beginning with the
day on which notice was given; and

(b) before the end of the period of 6 months beginning with
25that day.

(3) On hearing an application under this paragraph, a magistrates’
court may order the authority to take specified steps for the
purposes of discharging the authority’s duty under paragraph 2
and to do so within such reasonable period as may be specified.

(4) 30An order under sub-paragraph (3) may provide for paragraph 5 to
apply in relation to the application made to the authority as if for
the period of 12 months beginning with the day on which the
authority received the application there were substituted a longer
period.

(5) 35The authority or the applicant may appeal to the Crown Court
against a decision of a magistrates’ court under this paragraph.

(6) An order under this paragraph does not take effect—

(a) until the end of the period of 21 days beginning with the
day after the day on which the order was made, or

(b) 40if an appeal is brought in respect of the order within that
period (whether by way of appeal to the Crown Court or
by way of case stated for the opinion of the High Court),
until the final determination or withdrawal of the appeal.

Determination by authority

4 (1) 45As soon as reasonably practicable after serving a notice under
paragraph 2(4)(b), the authority must—

(a) investigate the matters stated in the application; and

(b) after consulting with every local authority whose area
includes the land to which the application relates, decide
whether to make or not to make the order to which the
5application relates.

(2) The duty in sub-paragraph (1) does not apply in a case to which
section 54B (modifications by consent) applies (see section 54B(1)).

(3) But if, in such a case, an event mentioned below occurs, the
authority must take the steps mentioned in sub-paragraph (1)(a)
10and (b) as soon as reasonably practicable after the occurrence of
that event.

The events are—

(a) that the authority ascertain that an owner does not consent
to the making of an order under section 53(2) (whether
15with or without the making of a special order mentioned in
section 54B(2)(a) to (c));

(b) that the authority decide for any other reason not to make
a modification consent order;

(c) that the period of 12 months beginning with the date on
20which notice was served under paragraph 2(4)(b) expires
without the authority having determined whether to make
such an order;

(d) that the authority make such an order but decide not to
confirm it.

(4) 25As soon as practicable after determining an application, the
authority must give notice of their decision by serving a copy of it
on the applicant and any person on whom notice of the
application was required to be served under paragraph 2(4)(b).

Failure by authority to determine application

5 (1) 30If an authority have not discharged their duty under paragraph 4
within the period of 12 months beginning with the day on which
they received the application, the applicant or any owner or
occupier of any land to which the application relates may give
notice to the authority in the prescribed form of an intention to
35apply to a magistrates’ court for an order under sub-paragraph
(4).

(2) A person who has given notice under sub-paragraph (1) may
apply to a magistrates’ court for an order under sub-paragraph (4)
at any time—

(a) 40after the end of the period of 1 month beginning with the
day on which notice was given; and

(b) before the end of the period of 12 months beginning with
that day.

(3) On the hearing of an application under sub-paragraph (2) the
45other persons by whom a notice under sub-paragraph (1) could
have been given have a right to be heard.