Company Law Reform Bill [HL]

moved Amendment No. 512A: "Page 426, line 17, leave out paragraphs (a) and (b) and insert—" ““(   )   for the purposes of, or in connection with, prescribed civil proceedings (including prospective proceedings) in the United Kingdom, or (   )   for the purposes of obtaining legal advice in relation to such proceedings, or (   )   otherwise for the purposes of establishing, enforcing or defending legal rights that are or may be the subject of such proceedings.”” The noble Lord said: My Lords, in moving Amendment No. 512A, I shall speak also to Amendment No. 512B, both of which amend Clause 866. They respond to very useful proposals put forward by the noble Lords, Lord Hodgson and Lord De Mauley, in Committee. I agreed to consider these as I thought the principles behind the proposals served positively to strengthen the clause. My officials have discussed the thinking further with the CBI and I hope the noble Lords will agree that the way we have drafted the amendments meets their points. Amendment No. 512A makes it clear that information can be disclosed for the purpose of preliminary steps to enforcing rights and for alternative ways of resolving the dispute other than through commencing civil proceedings. For example, it can be used to enable use of information for investigation, the issuing of ““cease and desist”” letters to the person said to be committing a breach of intellectual property rights, or for an alternative dispute resolution procedure. There are benefits to both business and consumers in making it clear that information can be disclosed for such preliminary steps. For example, a holder of intellectual property rights might need information in relation to previous breaches by a trader to show a pattern of behaviour. A consumer might need information from a test report showing that a product is unsafe in pursuing a claim with a trader or through an ombudsman scheme. Amendment No. 512B allows information disclosed under this clause to be used for all purposes covered by the clause. For example, this will make it unnecessary for an individual or business to go back to the public authority which disclosed the information to seek further permission if he intends to start proceedings. I beg to move.