Companies Act 2014 section 270

Meaning of "in default" in context of sanctions specified in respect of officers (whether directors or secretaries or not)

Section 270 defines what it means for a company officer to be "in default" when provisions of the Act impose sanctions on officers, whether they are directors, secretaries, or hold other officer roles.

• An officer is "in default" if they authorise the relevant breach or wrongdoing
• An officer is also "in default" if they permit the breach to occur through a failure to fulfil their duties
• The term "default" covers both a refusal to do something required and a contravention of a provision of the Act
• The defence available under section 271 cannot be relied upon where a separate defence is already provided for elsewhere in the Act