Insolvency Act 1986, section 148

Settlement of list of contributories and application of assets

Part IV Winding Up of Companies Registered under the Companies Acts

(1)F335As soon as may be after making a winding-up order, the court shall settle a list of contributories, with power to rectify the register of members in all cases where rectification is required . . . , and shall cause the company’s assets to be collected, and applied in discharge of its liabilities.

(2)If it appears to the court that it will not be necessary to make calls on or adjust the rights of contributories, the court may dispense with the settlement of a list of contributories.

(3)In settling the list, the court shall distinguish between persons who are contributories in their own right and persons who are contributories as being representatives of or liable for the debts of others.

Definitions used in section 148 1

the company

2 Section 233B does not apply in relation to a contract for the supply of goods or services to a company (“the company”) where any of paragraphs 3 to 11 applies.

Defined in Sch.4ZZA para.2 · see it in the full Act

Cases considering section 148 6

Burnden Group Holdings Ltd v Hunt

[2018] EWHC 463 (Ch) · 14 March 2018

Used with the rules concerning the list of contributories. The statutory scheme contemplated inclusion of holders of fully paid shares in that list. (see paras [22])

The Charit-Email Technology Partnership Llp v Vermillion International Investments Ltd.

[2009] EWHC 388 (Ch) · 13 February 2009

Provides the basis for the liquidator’s duty to draw up a list of contributories after a winding-up order. This supported the conclusion that section 79 does not determine standing to oppose the petition before the order. (see paras [16]-[17])

The Joint Administrators of LB Holdings Intermediate 2 Limited v The Joint Administrators of Lehman Brothers International (Europe) and others

[2017] UKSC 38 · 17 May 2017

The provision requires settlement of the list of contributories after a winding-up order and supports the conclusion that the contributory machinery operates only in liquidation. (see paras [132]; [155]-[158])

What each judgment says about section 148 is in the case-law panel in the full Act.

Amendments and notes

3 notes from legislation.gov.uk

Amendments

  1. F335Words in s. 148(1) omitted (1.10.2009) by virtue of The Companies Act 2006 (Consequential Amendments, Transitional Provisions and Savings) Order 2009, (S.I. 2009/1941) arts. 2(1), 8, {Sch. 1 para. 75(16)} (with art. 10, Sch. 1 para. 84)

Modifications

  1. C424S. 148 modified by S.I. 1986/1918, Rule 5
  2. C425S. 148 applied (with modifications) (17.2.2009 for certain purposes, otherwise 21.2.2009) by Banking Act 2009 (c. 1), ss. 103, 263(1)(2) (with s. 247); S.I. 2009/296, arts. 2, 3, Sch. para. 2