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Sale and Supply of Alcohol Act 2012

Licensing trusts, community trusts, and other matters - Licensing trusts - Voluntary administration and liquidation

347: Distribution of assets

You could also call this:

"What happens to a licensing trust's leftover assets when it is closed down"

When a licensing trust is being liquidated, you need to know what happens to any surplus assets it has. If there are any leftover assets, they must be given to the territorial authority where the trust is based. You should consider that a territorial authority is like a local council that looks after a specific area. If the trust's area covers more than one territorial authority district, the surplus assets will be shared between them.

The shares will be decided by the High Court, and they will be based on how many people live in each district and are eligible to vote for the licensing trust. The number of eligible voters is counted from the last triennial general election, which is an election held every three years. This information can be compared to s 213 for more context.

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Topics:
Money and consumer rights > GamblingGovernment and voting > Local councils
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346: Voluntary administration and liquidation under Companies Act 1993, or

"What happens when a licensing trust is in financial trouble and needs to close down or be managed by someone else"

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348: Application of sections 349 and 350, or

"Rules for some liquor licensing trusts"

Part 3Licensing trusts, community trusts, and other matters
Licensing trusts: Voluntary administration and liquidation

347Distribution of assets

  1. Any net surplus (whether or not in money) of a licensing trust in liquidation must be distributed to the territorial authority in whose district the trust is situated.

  2. If the trust district overlaps 2 or more territorial authority districts, the surplus must be distributed in shares to be determined by the High Court in proportion to the number of residents of each territorial authority district who are electors of the licensing trust.

  3. For the purposes of subsection (2), the number of residents who are electors is to be counted as at the date of the last triennial general election of members.

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