Bankruptcy

3.30Under the Insolvency Act 1986, ss 426A and 427 as amended by the Enterprise Act 2002, a Member of the House of Lords in respect of whom a bankruptcy1 restrictions order or a debt relief restrictions order has effect, or in Scotland a Member of the House of Lords whose estate is sequestered, is disqualified from sitting and voting in the House. A writ is not issued to any person, who would otherwise be entitled to one, while they are so disqualified. A court making a bankruptcy restrictions order, or an interim order, or a debt relief restrictions order, or an interim debt relief restrictions order in respect of a Member is required to notify the Lord Speaker and it is recorded in the minutes of proceedings for that day.2 Under the Insolvency Act 1986, an enactment about insolvency applies in relation to a Member of the House of Lords irrespective of any parliamentary privilege.3

Footnotes

  1. 1. The relevant statutory provisions are contained in the Bankruptcy Disqualification Act 1871, the Bankruptcy Act 1883, s 32, the Bankruptcy Act 1890, the Bankruptcy (Scotland) Act 1913, s 183, the Bankruptcy Act 1914, ss 106(1) and 128 and the Insolvency Act 1986, ss 426A and 427, as amended by the Enterprise Act 2002.
  2. 2. For notifications of bankruptcy, see LJ (1946–47) 358; ibid (1948–49) 257; ibid (1950) 212; ibid (1953–54) 161; ibid (2001–02) 69. The House is also notified in cases of discharge; see LJ (1957–58) 324; ibid (2001–02) 1026; for a case in which the certificate was rescinded, see LJ (1881) 24, 140.
  3. 3. Insolvency Act 1986, s 426C.