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(1) Subsection (2) applies where a member of a body listed in subsection (3) is found liable in civil legal proceedings in respect of something which he did or omitted to do in the course of carrying out his duties as a member of the body.
(a) the member of the body applies to a court for an order under this subsection, and
(b) the court considers that the action or omission which gives rise to the member's liability was honest and reasonable,
the court may make an order extinguishing, reducing or varying the liability.
(3) The bodies referred to in subsection (1) are—
(a) a further education corporation established by virtue of section 15, 16 or 47 of the Further and Higher Education Act 1992, and
(b) a body corporate established by virtue of section 143(4) or (5) of this Act.
(4) Where a member of a body listed in subsection (3) applies to a court for an order under this subsection, the court may make any order which—
(a) relates to liability in civil legal proceedings which may come to be incurred by the member in respect of a specified course of action, and
(b) is of a kind which the court could have made if the liability had already been incurred.
(5) In subsections (2)(a) and (4) “a court” means the High Court or a county court; but this subsection is subject to any order under section 1 of the Courts and Legal Services Act 1990 (allocation of business between High Court and county courts).
To be appointed: see s 154(3), (4).