Section 278: Administrator’s indemnity
consolidated text (as at 2017, amended since). juris shows the text as it was consolidated; it does not confirm that this is the law in force today.
278. Administrator’s indemnity
(1) An administrator shall be indemnified out of the company’s property
for—
(a) a personal liability incurred in the due performance of his duties,
but not a personal liability incurred in bad faith or negligently;
and
(b) the remuneration to which the administrator is entitled.
(2) Subject to section 279, an administrator’s right of indemnity under
this section has priority over—
(a) all the company’s unsecured debts; and
(b) debts of the company having a priority of the kind described in
clause 1 (4) of the Fourth Schedule.
(3) An administrator has a lien on the company’s property to secure a
right of indemnity under this section.
(4) A lien under subsection (3) has priority over a charge to the same extent as the right of indemnity has priority over debts secured by the relevant
charge.