The Gibraltar parliament, the House of Assembly, passed a bill for a Protected Cell Companies Ordinance on 3 July 2001.
The new legislation, which is expected to boost sectors such as captive insurance and funds, in essence provides for a single company with individual parts, known as cells, which are kept separate from each other. Each cell is only liable for its own debts and not for the debts of any other cell within the company.
Part I – Formation And Attributes
Part I of the Ordinance describes the formation and attributes of a protected cell company. A company may be either incorporated as a PCC, or converted, if so authorised by its articles, into a PCC. The new law stipulates that, for the avoidance of doubt, "a protected cell company is a single legal person," and that "the creation by a PCC of a cell does not create, in respect of that cell, a legal person separate from the company". The provisions of the Companies Ordinance apply in relation to a protected cell company
