- tocCivil Procedure Rules
|Contents of this Part|
|Scope of this Part||Rule 49.1|
|Right to apply for stop notice||Rule 49.2|
|Procedure for obtaining stop notice||Rule 49.3|
|Amendment of stop notice||Rule 49.5|
|Withdrawal or discharge of stop notice||Rule 49.6|
|Stop orders||Rule 49.7|
|Procedure on application for stop order||Rule 49.8|
|Power to vary or discharge stop order||Rule 49.9|
- This Part enables a person by obtaining a –
- stop notice – to be notified of proposed dealings relating to stock;
- stop order – to prevent certain specified steps being taken with regard to stock or funds in court.
- In this Part –
- “proper officer” means the officer of the court who is responsible for the custody of funds in court;
- “stop notice” means a notice requiring any person or body on whom it is served to refrain from taking, in respect of any of the stock specified in the notice, any of the specified steps without first notifying the person by whom, or on whose behalf, the notice was served;
- “stop order” means an order of the court prohibiting the taking, in respect of any of the stock or funds in court specified in the order, any of the specified steps; and“the specified steps” means –
- in the case of stock or funds in court – the transfer, sale or other dealing with the stock or funds or the payment out of the income thereof;
- the making of any payment by way of dividend, interest or otherwise in respect of the stock;
- the registration of any transfer of the stock.
- Any person who claims to be beneficially entitled to an interest in stock may apply for a stop notice.
- Anyone who wants the court office to issue a stop notice may obtain one by filing a notice in the practice form.
- The applicant must also file an affidavit which –
- gives an address for service for the applicant;
- identifies the stock; and
- identifies the applicant’s interest in it.
- The court office must then issue a stop notice.
- Anyone who applies to the court to issue a stop notice is referred to as the “applicant”.
- The applicant must serve a copy of the –
- affidavit; and
- stop notice; on the company and any keeper of the register on whom the applicant would have had to serve a charging order relating to the stock in accordance with rule 48.7.
- After that, so long as the stop notice is in force, neither the company nor the keeper of the register may register any transfer of the stock or take any step mentioned in the stop notice until 14 days after sending a notification of the proposed registration or other step to the applicant.
- If a stop notice describes any stock incorrectly, the applicant may ask the court office to issue an amended notice.
- The application may be made without notice.
- Rule 49.4 applies to an amended notice as it applies to the original notice.
- The person on whose behalf the court office issued a stop notice may withdraw it by serving a notification of withdrawal on the court and on every person on whom the stop notice was served.
- On the application of any person claiming to be beneficially interested in the stock to which a stop notice relates, the court may by order discharge or vary the notice.
- An application for such an order must be served on the person on whose behalf the court originally issued the stop notice.
- The application must be supported by evidence on affidavit.
- The court may make a stop order relating to –
- funds in court; or
- The stop order may prohibit the taking of any of the specified steps.
- Any person claiming to be beneficially entitled to stock may apply for a stop order.
- In the case of money in court any person –
- who has a mortgage or charge on the interest of any person in funds in court;
- to whom that interest has been assigned; or
- who is a judgment creditor of the person entitled to that interest; may apply for a stop order.
- Notice of an application for a stop order must be served by the applicant at least 7 days before the hearing on any person whose interest may be affected by the order and, in the case of funds in court, on the proper officer.
- The court may vary or discharge a stop order on the application of any person claiming to be entitled to any interest in the stock to which the order relates.