An action done or suffered to be done by a debtor prior to his being adjudged bankrupt, or by a company prior to its entering into administration or going into liquidation, that has the effect of putting one or more of his/its creditors or one or more of the sureties or guarantors of his/its debts or other liabilities into a better position in the event of his bankruptcy or of the company's insolvent liquidation.

1 Background information Organisation’s name and contact details [Insert your organisation’s name and contact details of the person co-ordinating with the supplier] Supplier’s name [Insert name of recipient organisation] Scope of questionnaire [State whether the questionnaire relates to the provision of a new preference centre or the development of an existing preference centre. Also, state whether the preference centre is to be the sole system for recording and managing all customers’ preferences or will form part of a broader range of tools for managing online relationships] Interaction between preference centre and other systems [Explain how the preference centre will interact with other relevant systems, eg:][—will the preference centre be expected to communicate with and auto-populate/update a central customer database?][—is it intended that the preference centre will integrate with your customer relationship management (CRM) system in some way?] 2 Supplier questionnaire 2.1 User-facing functionality Please complete the table below to explain the user-facing functionality offered by your preference centre. Functionality required (references to customer include all external users) So that Supplier response Customers are presented with a webpage for the preference centre which requires a unique identifier, eg [an email address]

Preference shares are not defined in the CA 2006 but, in general, preference shareholders are entitled to dividends and to other rights, whether to income or capital, in preference to ordinary shareholders. They are normally fixed-income shares and therefore do not typically participate in the success of the company in the same way as ordinary shares. See participating preference shares, cumulative preference shares and convertible preference shares.

Shares in a company which give their holders an entitlement to a fixed dividend but which do not usually carry voting rights. The important difference between preference and ordinary shares are: • The dividend on ordinary shares is uncertain and variable (high when the company does well, poor or non-existent when it does badly). Preference shareholders get a fixed dividend which, if not paid, usually accrues until it can be. • Each ordinary share usually carries a vote. Preference shares do not usually carry a vote unless dividends fall into arrears. • In the event of a winding up, preference shares are usually repayable at par value, and rank above the claims of ordinary shareholders (but behind bank and trade creditors). Preference shares may be issued with the right of conversion into ordinary shares. These are called convertibles.

Shares evidencing ownership in a corporation, which pay a fixed percentage dividend but which do not give the holder voting privileges.

The purpose of a preference claim under section 239 of the Insolvency Act 1986 (IA 1986) is to prevent a situation where a creditor is given priority in relation to past indebtedness of a company at the expense of other creditors, preventing a pari passu distribution to all creditors on insolvency. For further reading on pari passu distribution, see Practice Note: The pari passu principle and collection remedies for the office-holder. For a transaction to constitute a preference under IA 1986, s 239 the following conditions must be satisfied: • the company must be in liquidation or administration • the transaction was entered into at the relevant time being: ◦ within six months prior to the onset of insolvency, or ◦ if the respondent is a person connected with the company, within two years prior to the onset of insolvency • the recipient of the preference is one of the company’s creditors or a surety or guarantor for any of the company’s debts or other liabilities • the

This Flowchart sets out the conditions that must be satisfied for the court to declare that a transaction constitutes a preference and grant relief. It should be read alongside Practice

A preference claim can only be brought by a trustee in bankruptcy (trustee). For the court to declare that a transaction constituted a preference and grant relief the following conditions must be satisfied: • the debtor has been adjudged bankrupt • the transaction was entered into at the relevant time being: ◦ within the six months before the date of the making of the bankruptcy application as a result of which the debtor is made bankrupt or the date of the presentation of the petition on which the debtor is made bankrupt, or ◦ if the respondent is an associate of the debtor, within the two years prior to the making of the bankruptcy application as a result of which the debtor is made bankrupt or the date of the presentation of the petition on which the debtor is made bankrupt • the recipient of the preference is one of the debtor’s creditors or a surety or guarantor for any of the debtor’s debts or liabilities • the

This Flowchart sets out the conditions that must be satisfied for the court to declare that a transaction constitutes a preference and grant relief. It should be read alongside Practice

A creditor granted preferential status under the Insolvency Act 1986 entitled to receive payment in priority to others, eg employees of a company.

Those creditors of a company who fall within the definition of the Insolvency Act 1986, Sch 6 who are due payment of debts from an insolvent company ahead of creditors holding only floating charges and unsecured creditors. Preferred claims are employees' claims for wages and holiday pay together with contributions to occupational pension schemes.

A dividend which the shareholder receives ahead of the payment of dividends on other classes of shares. Usually calculated as a fixed percentage of the paid up nominal value (and any premium) of the shares. Compare with participating dividend where the return is a percentage of the profits of the company.