HC Deb 26 October 1989 vol 158 cc1227-8

Amendments made: No. 189, in page 167, line 23, leave out 'and 315' and insert 315 and 345'.

No. 190, in page 167, line 24, at end insert— '(1A) In Scotland, a permanent trustee on the sequestrated estate of a defaulter or a liquidator is bound by any market contract to which that defaulter is a party and by any contract as is mentioned in subsection (1)(b) above notwithstanding section 42 of the Bankruptcy (Scotland) Act 1985 or any rule of law to the like effect applying in liquidations.'.

No. 191, in page 167, line 27, after 'petition)' insert ', and section 32(8) of the Bankruptcy (Scotland) Act 1985 (effect of dealing with debtor relating to estate vested in permanent trustee),'.

No. 192, in page 167, line 38, leave out subsection (3) and insert— '(3) However, where—

  1. (a) a market contract is entered into by a person who has notice that a petition has been presented for the winding up or bankruptcy or sequestration of the estate of the other party to the contract, or
    2. 1228
  2. (b) margin in relation to a market contract is accepted by a person who has notice that such a petition has been presented in relation to the person by whom or on whose behalf the margin is provided, the value of any profit to him arising from the contract or, as the case may be, the amount or value of the margin is recoverable from him by the relevant office-holder unless the court directs otherwise.

(3A) Subsection (3)(a) does not apply where the person entering into the contract is a recognised investment exchange or recognised clearing house acting in accordance with its rules, or where the contract is effected under the default rules of such an exchange or clearing house; but subsection (3)(b) applies in relation to the provision of margin in relation to such a contract.'.—[Mr. Redwood.]

Forward to