Commentary on Sections Ending of judicial factor’s accountability on discharge
79.Section 37 sets out more detail about the legal effect of the discharge of a judicial factor. Subsection (1) provides that when the court issues an interlocutor containing an order for discharge, or the judicial factor is discharged by the Accountant, then the judicial factor is no longer legally accountable for anything done by the judicial factor in relation to any part of the factory estate in their capacity as judicial factor. Subsection (2) makes clear that if the judicial factor has incurred any criminal liability in the course of their actings as judicial factor, both civil liability, to the extent tied to the activities relating to that criminal liability, and the criminal liability continue following the judicial factor’s discharge. The Accountant will not be able to take action against a judicial factor under section 41 once a judicial factor has been discharged.