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Report on Judicial Factors - Scottish Law Commission #233 (Paperback)
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Report on Judicial Factors - Scottish Law Commission #233 (Paperback)
Series: Scottish Government Papers
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A factor is a person appointed to look after property belonging to
another. A judicial factor is a person appointed, and supervised,
by the court to gather, hold, safeguard and administer property
which is not being properly managed. The existing legislation on
judicial factors is archaic, complex, and no longer fit for
purpose. With approximately 115 judicial factories at present, and
an average of 12 new appointments each year, there is still a
strong need for a regime in Scotland enabling the appointment of a
responsible and accountable officer to administer and manage
estates in the myriad circumstances in which there is no other
suitable remedy. A common example today is a judicial factor
appointed at the instance of the Law Society of Scotland to firms
of solicitors where there has been a breach of professional
practice and the firm's liabilities exceed, or appear likely to
exceed, its assets. Another example would be where those running a
charity appear to have been managing it inappropriately. This
report contains a set of recommendations which, if implemented,
would put in place an updated and comprehensive regime that would
be of benefit to all concerned. The new regime would bring clarity
(for example, as to the powers and duties of a judicial factor and
the appropriate processes to be followed), accessibility and
efficiency to this vital but outmoded area of the law. Furthermore,
the flexibility introduced by the regime would mean that the
solution of appointing a judicial factor could become more
attractive in a wider range of circumstances
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