Pre-emptive costs order

In Re Axa Equity and Law Life Assurance Society Plc and In Re Axa Sun Life PLCE (TLR 19 December Ch D)

Mr Stuart MacWhirter, representing all policy holders opposed to a scheme of reorganisation under the Insurance Companies Act 1982 was granted a pre-emptive order for costs in any event in respect of the prospective costs incurred in preparation for the hearing of the petition seeking the approval of the court pursuant to Part 1 of Schedule 2(c) to the Insurance Companies Act 1982. His position was closely analogous to that of a shareholder bringing a derivative action against the controllers of a company on behalf of the company as a whole in that he had given consideration in exchange for his interest. Such an objector was also performing a service by enabling the scheme to be fully tested in court.