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Version status: In force | Document consolidation status: Updated to reflect all known changes
Version date: 1 October 2007 - onwards
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264. Application for permission to continue derivative claim brought by another member

(1) This section applies where a member of a company ("the claimant") -

(a) has brought a derivative claim,

(b) has continued as a derivative claim a claim brought by the company, or

(c) has continued a derivative claim under this section.

(2) Another member of the company ("the applicant") may apply to the court for permission (in Northern Ireland, leave) to continue the claim on the ground that -

(a) the manner in which the proceedings have been commenced or continued by the claimant amounts to an abuse of the process of the court,

(b) the claimant has failed to prosecute the claim diligently, and

(c) it is appropriate for the applicant to continue the claim as a derivative claim .

(3) If it appears to the court that the application and the evidence filed by the applicant in support of it do not disclose a prima facie case for giving permission (or leave), the court -

(a) must dismiss the application, and

(b) may make any consequential order it considers appropriate.

(4) If the appli

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