Rely on the most comprehensive, up-to-date legal content designed and curated by lawyers for lawyers
Work faster and smarter to improve your drafting productivity without increasing risk
Accelerate the creation and use of high quality and trusted legal documents and forms
Streamline how you manage your legal business with proven tools and processes
Manage risk and compliance in your organisation to reduce your risk profile
Stay up to date and informed with insights from our trusted experts, news and information sources
Access the best content in the industry, effortlessly — confident that your news is trustworthy and up to date.
Find up-to-date guidance on points of law and then easily pull up sources to support your advice with Lexis PSL
With over 30 practice areas, we have all bases covered. Find out how we can help
Our trusted tax intelligence solutions, highly-regarded exam training and education materials help guide and tutor Tax professionals
Regulatory, business information and analytics solutions that help professionals make better decisions
A leading provider of software platforms for professional services firms
In-depth analysis, commentary and practical information to help you protect your business
LexisNexis Blogs shed light on topics affecting the legal profession and the issues you're facing
Legal professionals trust us to help navigate change. Find out how we help ensure they exceed expectations
Lex Chat is a LexisNexis current affairs podcast sharing insights on topics for the legal profession
Discuss the latest legal developments, ask questions, and share best practice with other LexisPSL subscribers
What does a recent decision from the High Court tell us about the scope and construction of an ‘all monies’ legal charge?
Ashwood Enterprises Ltd and others v The Governor and the Company of the Bank of Ireland  EWHC 2624 (Ch)
The case considered whether or not a third party legal charge expressed as being 'all monies' could be construed more narrowly given the particular factual background.
On 26 June 2007, Bank of Ireland extended an initial facility of £27m to Inis Development Limited which was to develop a property held by two of its directors, the McFeelys, on trust for Ashwood Enterprises Limited (Ashwood). Inis' liabilities were secured by way of an 'all monies' third party legal charge over the property which was given by the McFeelys as mortgagors with Ashwood's consent. Ashwood also provided an 'all monies' guarantee of Inis's liabilities to the bank (the guarantee) and the McFeelys gave a personal guarantee.
A further facility of £10m was extended to Inis in May 2008 which was made for purposes which did not relate to the property.
In late 2008, the bank asked their lawyers to provide a summary of the finance documents relating to the property in connection with a proposed further borrowing. The email sent by the bank's lawyers initially stated that the legal charge only covered the initial facility of £27m. The email was then amended to make some corrections (including the impression that the legal charge was limited to the initial facility). It was claimed, however, that the wording of the corrected email could potentially still be read as stating that the legal charge only applied to the initial facility. The corrected email was then forwarded to the other side at the bank's request.
After seeing the board minutes relating to
Access this article and thousands of others like it free by subscribing to our blog.
Read full article
Already a subscriber? Login
Miranda is a solicitor specialising in leveraged and acquisition finance. She trained at Hogan Lovells International LLP and qualified into the international banking and finance team. During her time at Hogan Lovells she worked on a variety of domestic and cross-border transactions, acting for both borrowers and lenders. She also experienced secondments to Barclays Bank PLC and Kaupthing Bank hf.
0330 161 1234