Currently working through the new rules for committees, I thought I was going to mark practically all of it as “no significant change”, my favorite notation on my burgeoning spreadsheet. But as you might expect, there is a little wrinkle in SIP 15.
In the past, SIP 15 required us to send details of the Committee’s duties to the committee, once formed, along with a copy of SIP 2. That has now gone from the SIP (yay) but been replaced by a requirement to advise creditors before inviting nominations, “on where they can access suitable information on the rights, duties and functions of the committee…”
Meanwhile, the Rules now require that creditors be given opportunity to form a committee whenever they are asked for a decision, or notified of a proposal for deemed consent. So, basically, every notice of that kind needs to carry the above information and if you aren’t already using a website to post information of this kind, you will have to enclose the information with your letter.
Happily, you can refer people to the current R3 Creditors advice (assuming it gets amended) which does have a section covering these points, but this change means that there has to be reference to the creditors guide in every decision process; not just with the first one and with all reports relating to remuneration, as currently required under SIP 9. Moreover, because the R3 advice does not contain a clear index or contents page, I think the RPB will require an extra reference to the particular webpage http://www.creditorinsolvencyguide.co.uk/getting-involved.html and the drop down, probably.
So, now you know.
STOP PRESS – Watch out for my next blog on committees; being able to create them by the deemed consent process – a short cut to agreeing fees?