Section 726: Costs and expenses in actions by certain limited companies.

Companies Act 1985 · 1985 c. 6View on legislation.gov.uk

Part XXV: Miscellaneous and Supplementary Provisions

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Where in Scotland a limited company is pursuer in an action or other legal proceeding, the court having jurisdiction in the matter may, if it appears by credible testimony that there is reason to believe that the company will be unable to pay the defender's expenses if successful in his defence, order the company to find caution and sist the proceedings until caution is found.

About this text

This legislation text comes from legislation.gov.uk. Contains public sector information licensed under the Open Government Licence v3.0. These source and reuse terms cover the legislation text, not Remedy's commentary.

Reuse reviewed 21 August 2026 under Open Government Licence v3.0.