Legal Glossary (English and Latin) - P

Par delictum

The Latin term "Par delictum" means, in a UK legal context: "equal fault".

Parent Company

A parent company is one that controls one or more other companies which are its subsidiaries. The relationship between parent and subsidiary depends on majority control of the voting rights of shares or the ability to appoint the majority of directors.

The precise definition of a parent company is given in Section 1162 of the Companies Act 2006.

Pari passu

The Latin term "Pari passu" means, in a UK legal context: "on an equal footing".

Partly-Paid

When a share is issued, the person applying for it must pay to the company, in cash or equivalent value, the amount of its nominal value together with any premium required by the company.

Shares are fully paid when the whole amount has been received by the company (or exceptionally when the shareholder has given an undertaking to pay the whole amount). Shares may also be issued on the basis that only part of their price is to be paid at the outset (hence partly-paid) with the remainder being required when called for by the company.

Partnership

Under the Partnership Act 1890 a partnership is a business, which is not a limited company, carried on by two or more persons, whether or not on an equal sharing basis, with a view to profit.

A partnership is regulated by a partnership agreement which sets out the duties and responsibilities of the partners during the subsistence of the partnership and also upon its dissolution.

Passing Off

When a trade or service mark is not registrable it may still be entitled to certain protection, i.e. a passing-off action. Passing off is available where there is a prospect of confusion of identity through the unauthorised use of similar marks or get up, and such use damages, or is likely to damage the goodwill and reputation of a business.

Unregistered marks and passing off can apply to virtually any name, mark, logo or get-up which distinguishes a company, business, product or service.

Patent

A patent is granted under the Patents Act 1977 by the Patent Office to the owner or owners of an invention (the patentee) which is novel, inventive and capable of industrial application. It gives the owner the exclusive right for 20 years from application to make, use, sell, import or licence the invention that is the subject of the patent.

A patent can cover machines, products and processes.

Pay As You Earn (PAYE)

Pay As You Earn (PAYE) is a system of collecting taxes payable by an employee by direct deduction from their pay.

Employees pay Schedule E income tax and the employer is responsible for deducting the tax due (in accordance with the employee's allocated tax code) and paying it to the Inland Revenue. Certain PAYE records must be kept by the employer for the benefit of the Inland Revenue.

Pension Scheme

A pension scheme is a method of investing funds to provide an income upon retirement.

In the UK a State Pension is provided by the government; individuals may also choose to join personal or company (occupational) pension schemes. Contributions to the State Pension are paid through the National Insurance (NI) scheme.

Per curiam

The Latin term "Per curiam" means, in a UK legal context: "in the opinion of the court".

Per minas

The Latin term "Per minas" means, in a UK legal context: "by means of menaces or threats".

Per quod

The Latin term "Per quod" means, in a UK legal context: "by reason of which".

Petition

A written application asking for relief or remedy, as in a petition for divorce.

A petition is available only where statute or rules of procedure specifically prescribe it as a mode of procedure. Thus, a petition is necessary for applications for administrative orders, winding-up and bankruptcy orders.

Plc

A Plc (Public limited company) is distinct from a private company in that it is designed for wider share ownership and hence the administrative regime is tighter. Such a company can offer shares to the public and is capable of being listed.

Poll

In relation to a company, a method of voting whereby each member can vote for or against a resolution.

For companies with share capital, a member has one vote for each share or each £10 of stock held. In all other cases each member has one vote (Companies Act 2006 Section 284).

Votes may be given personally or by proxy. A member may appoint more than one proxy to attend a meeting, up to a maximum of one proxy per share (Companies Act 2006 Section 324).

Post mortem

The Latin term "Post mortem" means "after death".

Power of Attorney

A Power of Attorney form is a legal document whereby a person gives another person or persons the power to take decisions with regard to their financial affairs and/or their health and personal welfare.

Pre-emption Rights

Where a company proposes to issue new shares, existing shareholders may have the right to be offered a pro-rata part of the new shares before they are offered to a new shareholder.

Pre-emption rights are contained either in the Articles of Association or imposed by the Companies Act 2006 (Section 561) but may be disapplied either by a provision in the Articles of Association or a special resolution. In relation to sales of existing shares, similar rights require a shareholder wishing to sell shares to offer them first to existing shareholders before being able to transfer to outsiders. These rights are common for private companies.

Prima facie

The Latin term "Prima facie" means, in a UK legal context: "on the face of it".

Prima impressionis

The Latin term "Prima impressionis" means, in a UK legal context: "on first impression".

Private Company

A private company is a company that is not a public company (Companies Act 2006).

Under the Companies Act 2006, companies are incorporated as either private ("limited") or public ("Plc"). They are distinguished by different standards of regulation in the Companies Act 2006 and other legislation. Public companies require a minimum capital investment of ££50,000 (or €65,600) and are designed for use as more substantial companies with wide share ownership. They may be listed. Private companies are the category which represents the remainder of companies.

Pro hac vice

Latin term meaning proportionally; for a proportion.

Where several debtors are each liable for the whole debt, they are said to be liable "in solidum" but where each is liable for his own share or proportion only, they are said to be bound "pro rata". An example of both phrases may be found in the liabilty of partners; each is liable "in solidum" for the debts of the partnership in relation to creditors, but each is liable only "pro rata" in relation to between themselves.

Pro rata

Latin term meaning proportionally; for a proportion.

Where several debtors are each liable for the whole debt, they are said to be liable "in solidum" but where each is liable for his own share or proportion only, they are said to be bound "pro rata". An example of both phrases may be found in the liabilty of partners; each is liable "in solidum" for the debts of the partnership in relation to creditors, but each is liable only "pro rata" in relation to between themselves.

Pro tanto

The Latin term "Pro tanto" means, in a UK legal context: "so far, to that extent".

Pro tempore

The Latin term "Pro tempore" means, in a UK legal context: "for the time being".

Proxy

A person appointed by a shareholder to exercise any of his rights at a company meeting.

Any member of a company entitled to attend and vote at a meeting of it is entitled to appoint another person (whether a member or not) as his proxy to attend, speak and vote instead of him (Companies Act 2006 section 324.

A member may appoint more than one proxy to attend a meeting, up to a maximum of one proxy per share.

Public Company

A public company is a company limited by shares or limited by guarantee and having share capital (Companies Act 2006).

Companies are incorporated as either private ("limited") or public ("Plc"). They are distinguished by different standards of regulation in the Companies Act 2006 and other legislation. Public companies require a minimum capital investment of £50,000 (or €65,600) and are designed for use as more substantial companies with wide share ownership. A public company may be listed and must hold a trading certificate to do business. Private companies are the category which represents the remainder of companies.

Publici juris

The Latin term "Publici juris" means, in a UK legal context: "of public right".

 
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