Judicial Factors (Scotland) Bill: equality impact assessment

Who will it affect?

A judicial factor is an officer appointed by the court, and supervised by the Accountant of Court, for the purpose of holding, managing, administering and protecting the property of another wherever the need arises. A judicial factor can be appointed in many different situations. A common example today is those appointed at the instance of the Law Society of Scotland to firms of solicitors where there has been a breach of accounts rules and the firm’s liabilities exceed, or appear likely to exceed, its assets. Other examples include those appointed where a partnership is in dispute or where those running a charity appear to have been managing it inappropriately.

The Bill would impact upon the following:

• Those people or bodies in Scotland over whose property a judicial factor is appointed;
• Those who apply to the courts for the appointment of a judicial factor;
• Those appointed as a judicial factor (who tend to be accountants or solicitors); and,
• The Accountant of Court as supervisor of judicial factors.

For those over whose property a judicial factor is appointed and those who apply to the courts for such an appointment, the Bill would bring clarity as to the appropriate processes to be followed and as to the powers and duties of judicial factors. The new regime would be more user-friendly, resulting in all those coming into contact with it having better understanding of it.

For those acting as judicial factors, the Bill would bring simplified processes with clear functions largely set out in one statute rather than being interspersed with legislation on trusts.

If implemented, the Bill will result in an efficient, clear, fit for purpose regime governing judicial factors.