Companies Act 2014 section 1036

Relief

Section 1036 deals with the right of a person who is liable to a public limited company (PLC) in respect of payment for shares to apply to the court for full or partial relief from that liability.

• A person liable to a PLC under the share capital rules (sections 1025, 1027, 1028, 1029 or 1034) may apply to the court for exemption from that liability, in whole or in part
• The court may grant relief only where it considers it just and equitable, having regard to specified factors including amounts already paid, payments by other parties, and the performance of any undertakings
• In deciding whether to grant relief, the court must uphold two overriding principles: the PLC should receive money or money's worth at least equal to the paid-up value of the shares, and where the PLC has more than one remedy it should be free to choose which to pursue
• Where contribution proceedings arise between parties who share liability, the court may adjust the contribution having regard to each party's respective culpability, and this section does not apply to companies subject to the bank resolution regime