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Table of contents :
Preface
Dedication
About the author
Abbreviations
Table of Statutes
Table of Statutory Instruments
Table of EC Material
Table of Cases
Part I The Seller’s Perspective
Chapter 1 An overview of the sale process
1.1 The sale process
1.2 Rationale for selling
Chapter 2 Assessment of marketability
2.1 Appointment of a lead advisor
2.2 Preliminary review of the target
2.3 Appointment of the project team
Chapter 3 Preparing for the sale
3.1 Planning the sale
3.2 Shares or assets?
3.3 Tax planning on the sale of shares
3.4 Tax planning on the sale of assets
3.5 Methods of sale
3.6 Timing of sale
Chapter 4 Marketing
4.1 General
4.2 Preparation of the information memorandum
4.3 Approach to prospective purchasers
4.4 Confidentiality
4.5 Distribution of the information memorandum
4.6 Data rooms (off or online)
Chapter 5 Negotiation process
5.1 Selection of the preferred purchaser
5.2 Negotiation process
5.3 Response to the purchaser’s proposals
5.4 Heads of agreement and exclusivity
5.5 Response to due diligence enquiries
Part II The Purchaser’s Perspective
Chapter 6 An overview of the acquisition process
Chapter 7 Acquisition strategy
7.1 Business objectives
7.2 Acquisition strategy
7.3 The acquisition team
Chapter 8 The search process
8.1 Identifying potential targets
8.2 Selecting and evaluating potential targets
8.3 Approaching potential targets
Chapter 9 Negotiation
9.1 The negotiation process
9.2 Valuation
9.3 Price
9.4 Pricing structures
9.5 Financing the acquisition
9.6 Shares or assets?
9.7 Tax issues for the purchaser
9.8 Heads of agreement and exclusivity
Chapter 10 Due diligence
10.1 Introduction
10.2 Matters requiring investigation
10.3 Forms of due diligence
Part III The Acquisition Agreement
Chapter 11 General principles
11.1 Introduction
11.2 Plain English
Chapter 12 Share purchase
12.1 Share purchase agreement or offer document?
12.2 Share purchase agreement
Annex Competition and Markets Authority Mergers Guidance
Chapter 13 Business transfer agreement
13.1 Introduction
13.2 Business transfer agreement
Part IV Post-completion
Chapter 14 Announcements and notifications
14.1 Notification of aquisitions falling within competition law merger rules
14.2 Notifications
14.3 Consumer credit licence approval – FSMA 2000, s 178 notices and the FCA
Chapter 15 Implementing changes to the workforce
15.1 General considerations
15.2 Redundancy
15.3 Changes to terms and conditions of employment
15.4 The implications of TUPE 2006
15.5 Consultation
15.6 Changes to the target’s board of directors or senior management
Chapter 16 Stamp duty
16.1 General principles
16.2 Share purchases
16.3 Business transfers
16.4 Paying stamp duty on shares
Part V Special Situations
Chapter 17 Buy-outs
17.1 Introduction
17.2 Conflict of interests
17.3 Due diligence
17.4 Shareholder consent
17.5 Financial assistance
17.6 Tax considerations
17.7 Warranties/disclosure
17.8 Assignability of warranty/indemnity claims
Chapter 18 Buying and selling technology businesses
18.1 Introduction
18.2 Distinguishing features of the sale and purchase of a technology business
18.3 Due diligence
18.4 Employees
Part VI Precedents
Precedent A – Confidentiality letter
Precedent B – Data room rules
Precedent C – Offer letter: share purchase
Precedent D – Offer letter: business transfer
Precedent E – Due diligence request
Precedent F – Share purchase agreement
Precedent G – Limitations on warranty liability
Precedent H – Business transfer agreement
Precedent I – Disclosure letter
Precedent J – Completion agenda
Precedent K – Target board minutes
Precedent L – Power of attorney
Precedent M – Deed of contribution
Index
Downloadable precedents
Licence agreement
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Beswick and Wine: Buying and Selling Private Companies and Businesses

Beswick and Wine: Buying and Selling Private Companies and Businesses Eleventh edition

Susan Singleton Solicitor

BLOOMSBURY PROFESSIONAL Bloomsbury Publishing Plc 50 Bedford Square, London, WC1B 3DP, UK 1385 Broadway, New York, 10018, USA 29 Earlsfort Terrace, Dublin 2, Ireland BLOOMSBURY and the Diana logo are trademarks of Bloomsbury Publishing Plc First published in Great Britain 2022 Copyright © Bloomsbury Professional, 2022 Elizabeth Susan Singleton has asserted her right under the Copyright, Designs and Patents Act 1988 to be identified as Author of this work. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying, recording, or any information storage or retrieval system, without prior permission in writing from the publishers. While every care has been taken to ensure the accuracy of this work, no responsibility for loss or damage occasioned to any person acting or refraining from action as a result of any statement in it can be accepted by the authors, editors or publishers. All UK Government legislation and other public sector information used in the work is Crown Copyright ©. All House of Lords and House of Commons information used in the work is Parliamentary Copyright ©. This information is reused under the terms of the Open Government Licence v3.0 (http://www.nationalarchives.gov.uk/doc/opengovernment-licence/version/3) except where otherwise stated. All Eur-lex material used in the work is © European Union, http://eur-lex.europa.eu/, 1998-2022. British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library. ISBN:

PB: Epdf: Epub:

978 1 52651 612 1 978 1 52651 614 5 978 1 52651 613 8

Typeset by Evolution Design and Digital Ltd (Kent) To find out more about our authors and books visit www.bloomsburyprofessional. com. Here you will find extracts, author information, details of forthcoming events and the option to sign up for our newsletters

Contents

Prefaceix Dedicationxii About the author xiii Abbreviationsxv Table of Statutes xvii Table of Statutory Instruments xxiii Table of EC Material xxvii Table of Cases xxix Part I The Seller’s Perspective

1

CHAPTER 1  AN OVERVIEW OF THE SALE PROCESS 1.1 The sale process 1.2 Rationale for selling

3 3 4

CHAPTER 2  ASSESSMENT OF MARKETABILITY 2.1 Appointment of a lead advisor 2.2 Preliminary review of the target 2.3 Appointment of the project team

7 7 7 8

CHAPTER 3  PREPARING FOR THE SALE 3.1 Planning the sale 3.2 Shares or assets? 3.3 Tax planning on the sale of shares 3.4 Tax planning on the sale of assets 3.5 Methods of sale 3.6 Timing of sale

9 9 11 20 39 44 45

CHAPTER 4 MARKETING 4.1 General  4.2 Preparation of the information memorandum  4.3 Approach to prospective purchasers  4.4 Confidentiality  4.5 Distribution of the information memorandum  4.6 Data rooms (off or online) 

47 47 48 49 50 56 67

CHAPTER 5  NEGOTIATION PROCESS 5.1 Selection of the preferred purchaser  5.2 Negotiation process  5.3 Response to the purchaser’s proposals  5.4 Heads of agreement and exclusivity  5.5 Response to due diligence enquiries 

75 75 76 76 81 83

Part II The Purchaser’s Perspective

85

CHAPTER 6  AN OVERVIEW OF THE ACQUISITION PROCESS

87

CHAPTER 7  ACQUISITION STRATEGY 7.1 Business objectives  7.2 Acquisition strategy  7.3 The acquisition team 

91 91 91 92

v

Contents CHAPTER 8  THE SEARCH PROCESS 8.1 Identifying potential targets  8.2 Selecting and evaluating potential targets  8.3 Approaching potential targets 

93 93 93 95

CHAPTER 9 NEGOTIATION 9.1 The negotiation process  9.2 Valuation  9.3 Price  9.4 Pricing structures  9.5 Financing the acquisition  9.6 Shares or assets?  9.7 Tax issues for the purchaser  9.8 Heads of agreement and exclusivity 

97 97 98 100 100 104 117 137 138

CHAPTER 10  DUE DILIGENCE 10.1 Introduction  10.2 Matters requiring investigation  10.3 Forms of due diligence 

141 141 143 207

Part III The Acquisition Agreement

215

CHAPTER 11  GENERAL PRINCIPLES 11.1 Introduction  11.2 Plain English 

217 217 218

CHAPTER 12  SHARE PURCHASE 12.1 Share purchase agreement or offer document?  12.2 Share purchase agreement  Annex Competition and Markets Authority Mergers Guidance 

219 219 222 273

CHAPTER 13  BUSINESS TRANSFER AGREEMENT 13.1 Introduction  13.2 Business transfer agreement 

281 281 281

Part IV Post-completion

311

CHAPTER 14  ANNOUNCEMENTS AND NOTIFICATIONS 14.1 Notification of aquisitions falling within competition law   merger rules  14.2 Notifications  14.3 Consumer credit licence approval – FSMA 2000, s 178   notices and the FCA 

313

CHAPTER 15  IMPLEMENTING CHANGES TO THE WORKFORCE 15.1 General considerations  15.2 Redundancy  15.3 Changes to terms and conditions of employment  15.4 The implications of TUPE 2006 15.5 Consultation 15.6 Changes to the target’s board of directors or senior  management 

315 315 316 317 317 318

CHAPTER 16  STAMP DUTY 16.1 General principles  16.2 Share purchases 

323 323 323 vi

313 313 314

320

Contents 16.3 Business transfers  16.4 Paying stamp duty on shares 

326 328

Part V Special Situations

331

CHAPTER 17 BUY-OUTS 17.1 Introduction  17.2 Conflict of interests  17.3 Due diligence  17.4 Shareholder consent  17.5 Financial assistance  17.6 Tax considerations  17.7 Warranties/disclosure  17.8 Assignability of warranty/indemnity claims 

333 333 334 335 337 337 337 338 340

CHAPTER 18  BUYING AND SELLING TECHNOLOGY BUSINESSES341 18.1 Introduction  341 18.2 Distinguishing features of the sale and purchase of a   technology business  341 18.3 Due diligence  347 18.4 Employees  350 Part VI Precedents

353

Precedent A – Confidentiality letter  Precedent B – Data room rules  Precedent C – Offer letter: share purchase  Precedent D – Offer letter: business transfer  Precedent E – Due diligence request  Precedent F – Share purchase agreement  Precedent G – Limitations on warranty liability  Precedent H – Business transfer agreement  Precedent I – Disclosure letter  Precedent J – Completion agenda  Precedent K – Target board minutes  Precedent L – Power of attorney  Precedent M – Deed of contribution 

355 361 365 371 377 391 439 445 487 491 493 497 499

Index  Downloadable precedents  Licence agreement 

505 521 522

vii

Preface This book is primarily designed for solicitors, accountants and corporate financiers involved in private company mergers and acquisitions. It seeks to provide a step-by-step guide to the sale and purchase process and the key commercial, tax and legal issues arising from it. This edition is, and earlier editions were, written by practitioners actively engaged in private company merger and acquisition transactions. It is structured to reflect the buying and selling process in practice and considers the issues arising from both the seller’s and the purchaser’s perspective. The sale and purchase process varies depending upon the identity of the party initiating it. Accordingly, in Part I, the book covers the sale process from the seller’s perspective and, in Part II, the acquisition process from the purchaser’s perspective. The book covers most of the issues which the seller or purchaser (and their advisers) are likely to encounter. Due to the way this book is structured, issues of particular significance to the sale and purchase process are not addressed as separate topics in the conventional manner. Instead they are addressed in the context in which they would usually appear in the transaction. This eleventh edition, the fifth for which the current author Susan Singleton has been responsible, reflects the impact of a number of significant changes to the law and applicable regulations since the last edition. In particular it has been revised to include: • • •

Finance Acts 2017–2021 which reflect changes to tax law; changes to corporation tax and stamp duty; Brexit where relevant and competition law changes including from 1  January 2021 when the post-Brexit transitional period ended and 4  January 2022  UK merger law changes for certain sensitive sectors contained in the National Security and Investment Act 2021 and accompanying guidance.

A full range of useful precedents is provided by way of online access using the password provided. The companies expressed to be bought or sold in this book are: (i) unquoted; and (ii) limited by shares and incorporated under the Companies Acts; and (iii) private. Although some acquisitions are of public companies and indeed when I worked at Slaughter and May that would frequently be the case, most acquisitions in the UK are not of public companies and my practice since has largely been private sales and purchases. This is the market addressed by this book. Readers should be aware there are important additional rules applicable to sales of public companies which are not addressed in this book. In the case of a sale of shares this book assumes that, unless specific reference to a corporate seller is made, the seller is an individual. In the case of a business transfer the seller is assumed to be a corporate seller. This book also assumes that the purchaser is a single, corporate purchaser. The company or the business to be sold and purchased is subsequently referred to as the ‘target’. ix

Preface This work was originally conceived by Humphrey Wine (hence, since Mr Beswick became involved, ‘Beswick & Wine’) and the early editions were written solely by him, the first in about 1979 and second in 1983. Dr Wine went on to become the curator of 17th and 18th century French paintings at the National Gallery, London, until his retirement and is now in 2022 an Honorary Research Fellow at the University of Western Australia. The fourth to sixth editions were edited by Simon Beswick (who until 2021 was CEO of solicitors Osborne Clarke and is now a consultant there and also since May 2021 has been Chairman of Colas Crilll (an offshore law firm)) to whom we owe the present useful structure. I, Susan Singleton, Singletons, Solicitors am the editor/writer of the seventh, eighth, ninth, tenth and eleventh editions. For this edition I  would like to thank my various clients involved in buying or selling a business. Despite the Covid-19 (coronavirus) pandemic in 2020– 2022 mergers and acquisitions activity has continued and as I write I have just completed a sale of shares in one company and am instructed in relation to another share sale. Disputes between shareholders remain an active part of my practice and I had a mediation last Autumn to settle one such dispute. As with the period when writing the last edition this has been a busy period for my corporate work. Every transaction is different and lawyers learn from them all. This edition has had a thorough update including changes to the competition rules applicable to mergers following the post-Brexit transitional period ended on 31 December 2020 (and the UK left the EU on 31 January 2020) and new rules relating to mergers in sensitive sectors including the provisions of the National Security and Investment Act 2021. The new Act was already in 2021 applicable to some then outstanding mergers which could be ‘called in’ by the Government for scrutiny and its main provisions came into force on 4 January 2022. Any merger with a national security implication, involving one of the 17 sensitive sectors – weapons, technology and the like – should be carefully considered to determine if a compulsory prior merger notification must be made. However, most mergers do not have any competition law implications and instead the bread and butter work of an M&A lawyer continues to be in relation to legal due diligence and drafting and negotiating the share or assets sale agreement and ancillary documents – the core of this book. The law is as stated at 1 June 2022. Any errors and omissions are my own. Elizabeth Susan Singleton Pinner Hill 1 June 2022

x

Contents For comments and suggestions for inclusion in a later edition and legal advice on sales and acquisitions and the intellectual property and competition law aspects of such transactions contact: Susan Singleton Singletons, Solicitors www.singlelaw.com The Ridge South View Road Pinner HA5 3YD UK Tel: +44 (0)20 8866 1934 Email: [email protected]

xi

Dedication To my solicitor daughters, Rachel (at Macfarlanes) and Rebecca (freelance solicitor) and my twin sons Joe and Sam who both complete the Legal Practice Course in June 2022. May you continue to have as much fun in the law as I have had. To my oldest son Ben who escaped the lure of the law and works for Ocado. Plough your own furrow. To my siblings Victoria and John Morgan and our late sister Diana Mary Morgan. To my grandchildren Rose and Frederick and their new baby cousin Tabitha Mary. It is all before you.

xii

About the author Susan Singleton Susan Singleton is a solicitor with her own London firm of solicitors, Singletons (www.singlelaw.com) which specialises in commercial law, business sales and acquisitions, competition law, intellectual property law and IT/ecommerce. Trained at Nabarro Nathanson (now CMS), she joined Slaughter and May’s EC/ Competition Law Department on qualifying and then moved to Bristows where she remained until founding her own firm of solicitors in London in 1994. Since then she has advised over 1,000 clients from all over the world. She acted for the claimant in the first damages action for breach of the EU competition rules to come before the English courts, Arkin v Borchard Lines and Others. On the corporate side in 2021/22 she has advised on a wide range of sales and purchases in many sectors. She advises clients and also law firms without competition law expertise on merger law, notifications to the Competition and Markets Authority and recently advised a law firm on the new sensitive sectors’ compulsory merger notification regime under the National Security and Investment Act 2021. She also has engaged in corporate litigation matters such as fraud on the minority actions. She regularly advises on company law disputes, shareholder disagreements and litigates those cases where necessary. In 2021she settled several commercial agency compensation matters and corporate disputes. In 2015/17 she advised the tipping paper claimants in High Court, Court of Appeal and CJEU proceedings relating to EU and UK law in the tobacco sector and in 2017 won a trade mark case at a full trial. She is the author of 33 law books and contributor to 49 more on topics such as internet and ecommerce law, competition law, commercial agency law, data protection legislation and intellectual property. She is co-author of Buying and Selling Insolvent Companies and Businesses, also published by Bloomsbury Professional (3rd edn, 2022). She is author of Bloomsbury’s Joint Ventures and Shareholders’ Agreements (6th edn, 2021) and E-Commerce and Convergence – A Guide to the Law of Digital Media (5th edn, 2021) She is joint author of E-Contracts and sole author of Business the Internet and the Law which are now part of Bloomsbury’s Intellectual Property and IT Online Service. In 2021 she produced the new edition of LexisNexis’ Confidentiality Agreements volume of the Encyclopaedia of Forms and Precedents, and in 2020/21 the commentary of the Data Protection/Freedom of Information Act 2000 volume of the same series. Some of her clients are law firms who do not have in-house intellectual property and competition law expertise for whom she advises on those aspects of sales and purchases. She has spoken on her legal subjects all over the world at 1700 conferences since the 1990s in 16 countries ie  in the UK, Austria, Belgium, Dubai, France, Germany, Holland, Hungary, Iran, Ireland, Nigeria, Spain, Sweden, Switzerland, Trinidad and Turkey. She is a member of the Licensing Executives Society (EC/Laws Committee) and until 2017 was Vice Chairman of the Competition Law Association. From September 2005–September 2010 she sat as an independent member on the Direct Marketing Authority. She publishes ten subscription newsletters acquired from Informa plc – IT Law Today, Corporate Briefing, Finance & Credit Law, xiii

About the author International Trade Finance, Pensions Today, Food and Drink Law Monthly, Housing Law Monitor, Education Law Monitor, Environmental Law Monthly and Farm Law. She has five children and three grandchildren. She lives in London. Her hobbies include singing, gardening and reading. Contact: Email: [email protected] Singletons, Solicitors, The Ridge, South View Road, Pinner HA53YD Tel: 020 8866 1934 www.singlelaw.com Twitter: @singlelaw

About Singletons, Solicitors London commercial law firm of solicitors Singletons provides advice to clients from all over the UK and abroad from large plcs to small start-up business in the area covered by this book as well as the following: • • • • • • • •

Buying and selling private companies and businesses; Joint venture and partnership agreements; Commercial litigation/disputes; Competition law – advisory and guidance, litigation; Intellectual property; IT/e-commerce law particularly data protection law; Commercial agency regulations and claims; Commercial contracts.

xiv

Abbreviations The following abbreviations are used in this book: CA 1985 CA 2005 CA 2006 CRA 2015 CTA 2009 CTA 2010 FSA 1986 FSMA 2000 IA 1986 ICTA 1970 ICTA 1988 ITA 2007 TCGA 1992 TUPE 1981 TUPE 2006

Companies Act 1985 Companies Act 2005 Companies Act 2006 Consumer Rights Act 2015 Corporation Tax Act 2009 Corporation Tax Act 2010 Financial Services Act 1986 Financial Services and Markets Act 2000 Insolvency Act 1986 Income and Corporation Taxes Act 1970 Income and Corporation Taxes Act 1988 Income Tax Act 2007 Taxation of Chargeable Gains Act 1992 Transfer of Undertakings (Protection of Employment) Regulations 1981 Transfer of Undertakings (Protection of Employment) Regulations 2006

xv

Table of Statutes References in italics refer to the Precedents

B Bribery Act 2010........................... 10.2.6 C Capital Allowances Act 2001........  H 1.1 Pt 2 Ch 10 (ss 90–104).........H Sch 2-36 Capital Gains Taxes Act 1979 s 41............................................ 12.2.9 Civil Liability (Contribution) Act 1978....................................... 12.2.8 Commonhold and Leasehold Reform Act 2002 s 21............................................ 10.2.3 Companies Act 1948 s 54............................................ 9.5.1 Sch 1 Table A reg 10................................ 9.5.1 Companies Act 1985..................... 9.5.1; 12.1.1; H1.2 s 80.....................................9.5.1; 10.2.1 85............................................ 10.2.4 89............................................ 10.2.1 (1)........................................ 10.2.1 121.......................................... 9.5.1 151..................................... 9.5.1; 17.5 (1)–(3)............................... 9.5.1 152–154.................................. 9.5.1 155......................................9.5.1; 17.5 156.......................................... 9.5.1 (4)...................................... 9.5.1 157.......................................... 9.5.1 158.......................................... 9.5.1 (3)...................................... 9.5.1 159–168.................................. 9.5.1 320.......................................... 10.2.3 Companies Act 2006..................... 9.5.1; 10.3.1; 12.2.3, 12.2.15; 17.4; F1.2, F Sch 4 26.4, F Sch 4 30; H1.2 s 40............................................ 10.2.3 44............................................ 12.2.15 112.......................................... 12.2.7 113.......................................... 10.3.2 126.......................................... 12.2.7 162.......................................... 10.3.2 177, 182, 184, 185.................. 10.2.4 188.......................................... 12.2.7 190................................. 10.2.3, 10.2.4

Companies Act 2006 – contd s 191, 215.................................. 10.2.3 252–254.................................. 10.2.4 Pt 15 (ss 380–474).................. F Sch 4-5 s 382(3)–(6)............................... 10.2.4 383(4)–(7)............................... 10.2.4 386, 388.........F Sch 4 10.1, H Sch 2-7 424.......................................... 10.2.3 Pt 16 (ss 475–539)..................... 10.3.1 s 442(2)...................................... 8.2 465(3)...................................... 10.2.4 466(4)...................................... 10.2.4 474.......................................... 10.2.4 519..........................................  F6.2 (1)......................................  K8.1 534, 537.................................. 10.3.1 549...................................9.5.1; 10.2.1 550, 551.................................. 10.2.1 561, 564–573, 576.................. 9.5.1 593...................................9.5.2; 13.2.2 594(1)...................................... 9.5.2 595(1), (2)............................... 9.5.2 596.......................................... 13.2.2 610, 612.................................. 9.6.3 616(1)...................................... 9.6.3 617.......................................... 9.5.1 677.......................................... 17.5 678.....................................9.5.1, 9.6.2 679–680.................................. 9.5.1 690.......................................... 2.1 693(3)...................................... 10.2.4 770.......................................... 16.1 820..........................................  A.3 830.......................................... 3.3.3 853....................................... F Sch 4-7 871(1), (3)............................... 10.2.3 979.................................12.1.1, 12.1.3 (6) (7)................................ 12.1.1 983.......................................... 12.1.1 984(2)...................................... 12.1.1 994.......................................... 3.2 1150, 1151.............................. 13.2.2 1159, 1162.........................F1.1, H1.1 Competition Act 1998................... 10.2.9; 12.2.12; 17.3 Pt I Ch I (ss 1–16)...................... 10.2.9; F Sch 4-21, H Sch 2-15 Pt I Ch II (ss 17–24).................. 10.2.9; F Sch 4-21, H Sch 2-15

xvii

Table of Statutes Competition Act 1998 – contd Sch 1.......................................... 12.2.12 Consumer Credit Act 1974 s 178.......................................... 10.2.4 Consumer Rights Act 2015........... 13.2.3 s 2(3).......................................... 11.2 Contracts (Rights of Third Parties) Act 1999.................... 12.2.14; F16.2, H20.2, H Sch 2-25 Copyright, Designs and Patents Act 1988................................. 18.2.2 Corporate Insolvency and Governance Act 2020............. 10.2.3 Corporation Tax Act 2009 Pt 5 Ch 4 (ss 335–347)......... F Sch 4-51 s 441–446.............................F Sch 4-51 Pt 9A (ss 931A–931W)............. 9.5.1 s 1285........................................ 9.5.1 Corporation Tax Act 2010 s 34(1), (2)............................ F Sch 4-49 344..................................... F Sch 4-50 448..........................................  F1.1 449..........................................  F1.1 673.......................................... 3.4.3 Pt 22 (ss 938–966A).................. 3.4.3 Pt 22 Ch 4 (ss 963–966)....... F Sch 4-50 s 1176........................................  F1.1 Criminal Finances Act 2010.......... 3.3.4 D Data Protection 1998 s 10, 11, 12....... F Sch 4 28, H Sch 2-21 Data Protection Act 2018.............. 4.4.1; 10.2.12; 18.2.2; E15.1; F Sch 4 28; H Sch 2-21 E Employment Rights Act 1996....... 12.2.7; F Sch 4 30, H Sch 2-22 s 86(1)........................................ 15.1 98............................................ 15.1 139.......................................... 15.2 203(1)...................................... 12.2.7 (2)(e), (f)........................... 12.2.7 (3)...................................... 12.2.7 (b)................................. 13.2.8 (3A)................................... 12.2.7 Enterprise Act 2002....................... 10.2.3, 10.2.4, 10.2.9; F Sch 4 21.1, H Sch 2-15 Enterprise and Regulatory Reform Act 2013.......... 10.2.4, 10.2.9 Environment Act 1995.................. 10.2.5; F Sch 4-41, H Sch 2-33 Environmental Protection Act 1990.................................. F1.1, H1.1 Pt I (ss 1–28).................... 10.2.5, 10.3.2

Environmental Protection Act 1990 – contd s 1(2)..................................... F1.1, H1.1 Pt II (ss 29–78).......................... 10.3.2 Pt IIA (ss 78A–78YC)......10.2.5, 10.3.2 s 33, 34...................................... 10.2.5 Equal Pay Act 1970 s 2(4), (5)................................... 12.2.13 Equality Act 2010......................... 15.2; F Sch 4 30, H Sch 2-22 s 67–71...................................... 12.2.13 F Factories Act 1961.................. F Sch 4-36, H Sch 2-28 Fair Trading Act 1973................... 10.2.4 Finance Act 1930 s 42.................................... 3.3.3; 16.2.1 Finance Act 1967 s 27.....................................3.3.3; 16.2.1 Finance Act 1986 s 77............................................ 16.2.2 Pt IV (ss 86–99A)...................... 16.1 Finance Act 1991.......................... 3.3.1 s 72............................................ 3.4.1 Finance Act 1993.......................... 3.3.3 Finance Act 1995.......................... 13.2.4 Finance Act 1996.......................... 9.5.1 s 81, 85................................. F Sch 4-51 Sch 9 para 13............................... F Sch 4-51 Finance Act 1998.......................... 3.3.1 s 32....................................... F Sch 4-53 Finance Act 1999.......................... 16.1 Finance Act 2000.......................... 16.2.1 Finance Act 2003.......................... 9.6.3, 9.7.4; 13.2.3; 16.3 Finance Act 2004.....................H Sch 2-24 s 153.....................................H Sch 2-24 Finance Act 2009.......................... 9.5.1 Finance Act 2011.......................... 9.6.3 Finance Act 2013 Pt 5 (ss 206–215)....................... 3.3.4 Sch 43........................................ 3.3.4 Finance Act 2014.................. 3.3.1; 10.2.5 Finance Act 2020........................3.1, 3.2.1 Finance Act 2021.......................... 15.6 Finance (No 3) Act 2010............... 9.5.1 Finance (No 2) Act 2017............... 15.6 s 8.............................................. 3.3.1 Financial Services Act 2012.......... 4.5.6 Pt 7 (ss 89–95).............. 4.5.4, 4.5.5, 4.6 s 89............................4.6, 4.6.3, 12.2.10 Sch 9.......................................... 4.5.4 Financial Services and Markets Act 2000............................. 3.2.3; 4.2, 4.5, 4.5.4; 12.1.2

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Table of Statutes Financial Services and Markets Act 2000 – contd s 21.......................... 4.5.1, 4.5.2; 12.1.2 (3), (13)............................... 4.5.1 25............................................ 4.5.4 Pt III (ss 31–39A)...................... 4.5.3 s 31............................................ 4.5.3 Pt 4A.......................................... 4.5.3 s 80............................................ 9.5.1 118.......................................... 4.2 (b)...................................... 4.2 Pt XII (ss 178–192)................... 10.2.4 s 178.................................... 10.2.4, 14.3 191D, 191F............................. 10.2.4 315.......................................... 4.5.3 397.............................4.5.5, 4.6, 4.6.3; 5.5; 11.1; 12.2.10 (1)–(3), (5), (8).................. 4.5.5 398, 399.................................. 4.5.6 400(1)...................................... 4.5.4 421A.....................................F Sch 4-6 422.......................................... 10.2.4 Sch 6.......................................... 4.5.3 G Gambling Act 2005................. F Sch 4-36, H Sch 2-28 H Health and Safety at Work etc Act 1974.............. F Sch 4-36, H Sch 2-28 Highways Act 1980 s 38, 278........... F Sch 4-35, H Sch 2-27 I Income and Corporation Taxes Act 1970 s 460.......................................... 3.3.1 Income and Corporation Taxes Act 1988........ F1.1, H1.1, H Sch 2-24 s 12....................................... F Sch 4-43 19 Sch E.................................. 17.6.1 20(2)........................................ 3.3.4 Pt VI (ss 207A–255)............. F Sch 4-52 s 208.......................................... 9.5.1 245..................................... F Sch 4-53 254..................................... F Sch 4-52 343.......................................... 3.4.3 (4)...................................... 3.4.3 360.......................................... 9.5.1 414..................................... F Sch 4-49 416(1)...................................... 9.5.1 419–422.............................F Sch 4-49 659B...................................F Sch 4-32 703.......................................... 3.3.1 768........................... 3.4.3; F Sch 4-53 768A, 768B........................ F Sch 4-53 839.......................................H Sch 2-2

Income Tax Act 2007....................  H1.1 s 383, 392.................................. 9.5.1 684.......................................... 3.3.1 Income Tax (Earnings and Pensions) Act 2003...........3.3.4; H1.1 s 403, 404.................................. 15.6 Income Tax (Trading and Other Income) Act 2005...................  H1.1 Industrial Training Act 1982.... F Sch 4 31 Insolvency Act 1986 s 1........................................ F Sch 4 6.5 10, 11, 23................................ 10.2.3 123.......................10.2.10; F Sch 4 6.4 (1)(a)........................... F Sch 4 6.7 232.......................................... 10.2.3 238.....................3.3.3; 10.2.10; F Sch 4-4, F Sch 4-5 239.......................................... 10.2.10 240(3)...................................... 10.2.10 249.......................................... 10.2.10 339......................................F Sch 4-4, F Sch 4-5 435.......................................... 10.2.10 Sch 1.......................................... 10.2.3 para 2...................................... 10.2.3 Sch 4 para 6...................................... 10.2.3 Interpretation Act 1978 s 21(1)................................... F1.2, H1.2 L Land Registration Act 1925 s 70.......................................F Sch 4-33 Land Registration Act 2002.....H Sch 2-25 Landlord and Tenant Act 1927 s 19............................................ 13.2.2 (1)........................................ 10.2.4 Landlord and Tenant Act 1954 Pt II (ss 23–46).......................... 13.2.2 Landlord and Tenant Act 1988...... 10.2.4; 13.2.2 Landlord and Tenant (Covenants) Act 1995........................10.2.4, 10.2.5 s 16............................................ 13.2.2 Law of Property Act 1925............. 10.2.3 s 101.......................................... 10.2.3 136.......................................... 13.2.3 Law of Property (Miscellaneous Provisions) Act 1989.............. 12.2.15 Law of Property (Miscellaneous Provisions) Act 1994.............. 12.2.5 s 3(1)..........................................  H2.3 Licensing Act 1988.................. F Sch 4-36 Licensing Act 2003................. F Sch 4-36, H Sch 2-28 Limited Liability Partnership Act 2000....................................... 9.5.1

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Table of Statutes Local Government (Miscellaneous Provisions) Act 1982 s 33................... F Sch 4-35, H Sch 2-27 Localism Act 2011........................  H1.1

Powers of Attorney Act 1971 s 1(1).......................................... 12.2.7 Public Health Act 1936 s 18.......................................F Sch 4-35

M Minors’ Contracts Act 1987.......... 10.2.3 Misrepresentation Act 1967.......... 12.2.8 s 3.............................................. 12.2.11 Modern Slavery Act 2015............. 10.2.8

R Restrictive Trade Practices Act 1976.................................10.2.9; 17.3 S Sale of Goods Act 1979 s 12, 13...................................... 13.2.3 14............................................ 13.2.3 (2), (3)................................. 13.2.3 18, 27...................................... 13.2.3 Stamp Act 1891............................. 16.1 s 14(4)........................................ 16.1 Senior Courts Act 1981 s 37............................................ 10.2.3

N National Security and Investment Act 2021............... 10.2.4; 14.1; 18.2.2 O Offices, Shops and Railway Premises Act 1963........... F Sch 4-36, H Sch 2-28 P Patents Act 1977................... F Sch 4 27.3 s 1(2).......................................... 18.2.2 30............................................ 13.2.6 Pension Schemes Act 1993........... 13.2.9; F Sch 4 32 Pt III (ss 7–68D)....... F Sch 4-32, H Sch 2-24 Pensions Act 1995......................... 10.2.5; 12.2.13; F Sch 4-32 s 62..........................12.2.13; F Sch 4-32 63–66...................................... 12.2.13 67............................................ 10.2.5 75.................................10.2.5; 12.2.13 Pensions Act 2004............. 10.2.5, 12.2.13, F Sch 4-32, H Sch 2-24 Pt 3 (ss 221–233)....................... 10.2.5 s 257, 258.................................. 13.2.9 Pensions Act 2014.................3.3.1; 10.2.5; F Sch 4-32, H Sch 2-24 Pension Schemes Act 2021........... 10.2.5 Planning Act 2008.........................  H1.1 Planning (Consequential Provisions) Act 1990....... F 1.1, H 1.1 Planning (Hazardous Substances) Act 1990........................... F 1.1, H1.1 Planning (Listed Buildings and Conservation Areas) Act 1990...................................F1.1, H1.1 Planning and Compensation Act 1991.................................. F1.1, H1.1 Planning and Compulsory Purchase Act 2004............F1.1, H1.1 Pollution Prevention and Control Act 1999....................... 10.2.5, 10.3.1

T Taxation of Chargeable Gains Act 1992................................ 12.2.9; F1.1 s 28.....................................3.2.1; 12.2.3 35, 38...................................... 3.2.1 48.......................................5.3.1, 5.3.2 117.......................................... 3.3.1 135........................... 3.3.1, 3.4.1; 5.3.2 137.......................................... 3.3.1 138.................................... 3.3.1; 5.3.2 138A........................................ 5.3.2 152, 155, 162, 165.................. 3.4.1 152–158.............................F Sch 4-48 165.......................................... 3.3.1 170.....................................F Sch 4-50 171.....................................3.3.3, 3.4.3 179.......................................... 3.4.3 280.......................................... 5.3.1 Sch 5B....................................... 9.5.1 Sch 7A....................................... 3.3.3 Taxes Management Act 1970........  F1.1 Town and Country Planning Act 1971 s 52................... F Sch 4-35, H Sch 2-27 Town and Country Planning Act 1990..............F1.1, H1.1, H Sch 2-27 s 106.............................  F Sch 4-35, H Sch 2-27 Trade Union and Labour Relations (Consolidation) Act 1992 Pt I Ch II (ss 10–23)............. F Sch 4 31 U Unfair Contract Terms Act 1977... 13.2.3 s 8.............................................. 12.2.11

xx

Table of Statutes V Value Added Tax Act 1994............  F1.1, F1.2, F Sch 4-44, H1.1 s 43...........................12.2.9; F Sch 4-46 49............................................  H4.4 77(1)(a)...................................  H4.3 Sch 9 Group 1 item 1................................ 13.2.5 (a)............................  H4.7 Sch 10 para 2........... 13.2.5; F Sch 4-46, H4.7

W Water Act 2014............................. H Sch 2 Water Industry Act 1991 s 104................. F Sch 4-35, H Sch 2-27 Pt VII (ss 192A–207)................. 10.3.2 Water Resources Act 1991 Pt II (ss 19–81).......................... 10.3.2 Pt VIII (ss 187–206).................. 10.3.2 Wills Act 1837.............................. 12.2.15

xxi

Table of Statutory Instruments References in italics refer to the Precedents

B Business Protection from Misleading Marketing Regulations 2008, SI 2008/1276........................ F Sch 4 21, H Sch 2-15 C Civil Procedure Rules 1998, SI 1998/3132.............................. 12.2.8 r 44.4(3)............................ F11.6, H17.5 Collective Redundancies and Transfer of Undertakings (Protection of Employment) (Amendment) Regulations 2014, SI 2014/16.................... 10.2.5 Companies Act 2006 (Consequential Amendments) (Taxes and National Insurance) Order 2008, SI 2008/954..................  H1.1 Companies (Forms) Regulations 1985, SI 1985/854.................. 9.5.1 Companies, Partnerships and Groups (Accounts and Reports) Regulations 2015, SI 2015/980 reg 2, 4, 9................................... 10.2.4 Construction (Design and Management) Regulations 2007, SI 2007/320 reg 2...........................................  E-20.5 Consumer Protection from Unfair Trading Regulations 2008, SI 2008/1277 ....................... F Sch 4 21, H Sch 2-15 Contaminated Land (England) Regulations 2006, SI 2006/1380.............................. 10.2.5 reg 2........................................... 10.2.5 Copyright and Rights in Databases Regulations 1997, SI 1997/3032.......................... 18.2.2 D Data Reporting Services Regulations 2017, SI 2017/699................................ 4.5.1

E Enterprise Act 2007 (Merger Fees and Determination of Turnover) (Amendment) Order 2014, SI 2014/534....... 10.2.4 Enterprise Act 2002 (Merger Fees and Determination of Turnover) Order 2003, SI 2003/1370 art 4(1), (3)................................ 10.2.4 7............................................ 10.2.4 Enterprise Act 2002 (Share of Supply) (Amendment) Order 2020, SI 2020/748.................. 10.2.4 Enterprise Act 2002 (Share of Supply Test) (Amendment) Order 2018, SI 2018/578....... 10.2.4 Enterprise Act 2002 (Turnover Test) (Amendment) Order 2018, SI 2018/593.................. 10.2.4 Enterprise Act 2002 (Turnover Test) (Amendment) Order 2020, SI 2020/763.................. 10.2.4 Environmental Information Regulations 2004, SI 2004/3391 reg 4........................................... 10.3.2 Equality Act 2010 (Sex Equality Rule) (Exceptions) Regulations 2010, SI 2010/2132.............................. 12.2.13 F Financial Instruments (Amendment) (EU Exit) Regulations 2018, SI 2018/1403.............................. 4.5.1 Financial Services and Markets Act 2000 (Amendment) (EU Exit) Regulations 2019, SI 2019/632 reg 121–161, 163–177............... 4.5.3 Financial Services and Markets Act 2000 (Promotion of Collective Investment Schemes) (Exemptions) Order 2001, SI 2001/1060..... 4.5.3 Financial Services and Markets Act 2000 (Financial Promotion) Order 2001, SI 2001/1335.............................. 4.5.2

xxiii

Table of Statutory Instruments Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, SI 2005/1529........................ 4.5.2, 4.5.3 art 7, 12...................................... 4.5.2 18.......................................... 4.5.2 (2)..................................... 4.5.2 18A, 19, 28........................... 4.5.2 48–50, 50A, 51, 62, 64......... 4.5.2 Sch 4 Pt II (paras 7–40)................... 4.5.2 Financial Services and Markets Act 2000 (Market Abuse) Regulations 2006, SI 2016/680................................ 4.5.3 Financial Services and Markets Act 2000 (Markets in Financial Instruments) Regulations 2017, SI 2017/701................................ 4.5.1 Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2017, SI 2017/488....... 4.5.1 Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 SI 2001/544................................ 4.5.3 Financial Services (Miscellaneous Amendments) (EU Exit) Regulations 2020, SI 2020/628................................ 4.5 Foreign Companies (Execution of Documents) Regulations 1994, SI 1994/950.................. 12.2.15 Foreign Companies (Execution of Documents) (Amendment) Regulations 1995, SI 1995/1729.............................. 12.2.15 G General Data Protection Regulation 2018..................... 4.4.1 L Law Applicable to Contractual Obligations and NonContractual Obligations (Amendment etc) (EU Exit) Regulations 2019, SI 2019/834................................ 12.2.14 M Market Abuse (Amendment) (EU Exit) Regulations 2019, SI 2019/310................................ 4.2

Modern Slavery Act 2015 (Transparency in Supply Chains) Regulations 2015, SI 2015/1833.............................. 10.2.8 O Occupational Pension Schemes (Deficiency on Winding Up etc) Regulations 1996, SI 1996/3128....................10.2.5; 12.2.13 Occupational Pension Schemes (Preservation of Benefit) Regulations 1991, SI 1991/167................................ 12.2.13 Official Listing of Securities, Prospectus and Transparency (Amendment etc) (EU Exit) Regulations 2019, SI 2019/707................................ 4.5 P Packaging (Essential Requirements) (Amendment) Regulations 2013, SI 2013/2212.............................. 10.2.5 Privacy and Electronic Communications (EC Directive) Regulations 2003, SI 2003/2426.............. 10.2.12; 18.2.2 Producer Responsibility Obligations (Packaging Waste) Regulations 1997, SI 1997/648 ...................... 10.2.5, 10.3.2 Prospectus (Amendment etc) (EU Exit) Regulations 2019, SI 2019/1234.............................. 4.5 Prospectus Regulations 2005, SI 2005/1433......................... 4.5, 10.2.4 Prospectus Regulations 2012, SI 2012/1538.............................. 10.2.4 Public Offers of Securities Regulations 1995, SI 1995/1537.............................. 4.5 R Regulatory Reform (Execution of Deeds and Documents) Order 2005, SI 2005/1906..... 12.2.15 Regulatory Reform (Fire Safety) Order 2005, SI 2005/ 1541............. F Sch 4-36; H Sch 2-28 Restriction of the Use of Certain Hazardous Substances in Electrical and Electronic Equipment Regulations 2006, SI 2006/1463................ 10.2.5

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Table of Statutory Instruments T Town and Country Planning (Control of Advertisements) (England) Regulations 2007, SI 2007/783....................... F1.1, H1.1 Transfer of Employment (Pension Protection) Regulations 2005, SI 2005/649.................. 10.2.5 Transfer of Undertakings (Protection of Employment) Regulations 1981, SI 1981/1794.........10.2.5, 13.2.8, 13.2.9 reg 7........................................... 10.2.5 Transfer of Undertakings (Protection of Employment) Regulations 2006, SI 2006/246 ............................... 10.2.5; 13.2.8, 13.2.9, 13.2.10; 14.2.3; 15.4; F Sch 4-31, H1.1, H11.1, H11.3, H11.5, H Sch 2-23 reg 2(1)...................................... 13.2.8 3(1), (2)................................ 13.2.8 4........................................... 13.2.8 (1)–(3), (7)–(9).................. 13.2.8 7.....................................  13.2.8, 13.2.9 (1), (2)................................ 13.2.8 8(1)...................................... 13.2.8 10......................................... 13.2.9 12.........................................  H11.3 13................................... 13.2.8; H11.2 (9).................................... 13.2.8

U Unfair Terms in Consumer Contracts Regulations 1999, SI 1999/2083 reg 3........................................... 11.2 V Value Added Tax Regulations 1995, SI 1995/2518 Pt XV (regs 112–116).......... F Sch 4-46, H1.1 Value Added Tax (Special Provisions) Order 1995, SI 1995/1268 art 5.......................................H4.4, H4.7 W Waste Electrical and Electronic Equipment (Amendment) Regulations 2007, SI 2007/3454.............................. 10.2.5 Waste Electrical and Electronic Equipment (Amendment) Regulations 2010, SI 2010/1155 .............................. 10.2.5 Waste Electrical and Electronic Equipment Regulations 2006, SI 2006/3289................ 10.2.5 Working Time Regulations 1998, SI 1998/1833 .................  E18.3, F1.1, F Sch 4-30, H1.1, H Sch 2-22, H Sch 2-23 reg 2.....................................F Sch 4-30, H Sch 2-22, H Sch 2-23

xxv

Table of EC Material References in italics refer to the Precedents

TREATIES AND CONVENTIONS Convention on Jurisdiction and the Enforcement of Judgments in Civil and Commercial Matters (Brussels, 9 September 1968).12.2.14 Convention on Jurisdiction and the Enforcement of Judgments in Civil and Commercial Matters (Lugano, 30 October 2007).... 12.2.14 Convention on the Grant of European Patents (Munich, 5 October 1973) art 52 ......................................... 18.2.2 Convention on the Law Applicable to Contractual Obligations (Rome, 19 June 1980) art 4 ........................................... 12.2.14 Convention on the Recognition and Enforcement of Foreign Arbitral Awards (New York, 10 June 1958) ........................ 12.2.6 Treaty establishing the European Community (Rome, 25 March 1957) .......................... 10.2.9 art 81 [former art 85]................. 10.2.9 82 [former art 86] ................ 10.2.9 87, 88 .............................. F Sch 4-21 141 [former Art 119] ........... 12.2.13; F Sch 4-32 Treaty of Lisbon amending the Treaty on European Union and the Treaty establishing the European Community (Lisbon, 13 December 2007) .10.2.9

Treaty on the Functioning of the European Union art 101........................... 10.2.9; 12.2.12; F Sch 4-21; H Sch 2-15 102........................................ 10.2.9; F Sch 4-21; H Sch 2-15 107, 108...........................F Sch 4-21 157 .....................12.2.13; F Sch 4-32 DIRECTIVES Directive 77/187/EEC.......... 13.2.8, 13.2.9 art 3(3)....................................... 13.2.9 Directive 96/9/EC......................... 18.2.2 Directive 2003/4/EC art 3(5)(c)................................... 10.3.2 Directive 2003/71/EC................... 10.2.4 Directi