Schedule 16, paragraph 41

When an administration order takes effect in respect of a company any administrative receiver of the company shall vacate office. Where a company is in administration, any receiver of part of the company’s property shall vacate office if the administrator requires him to. Where an administrative receiver or receiver vacates office under sub-paragraph (1) or (2)— his remuneration shall be charged on and paid out of any property of the company which was in his custody or under his control immediately before he vacated office, and he need not take any further steps under section 40 or 59. In the application of sub-paragraph (3)(a)— “remuneration” includes expenses properly incurred and any indemnity to which the administrative receiver or receiver is entitled out of the assets of the company, the charge imposed takes priority over security held by the person by whom or on whose behalf the administrative receiver or receiver was appointed, and the provision for payment is subject to paragraph 43.

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Source: legislation.gov.uk · retrieved 2026-09-04