Commentary

127.5 Negative equity in units

COMMONHOLD vol 8(1)
| Commentary

127.5 Negative equity in units

| Commentary

127.5 Negative equity in units

The units will vest in the association when the termination application is made to the Land Registry subject to any registered charges1. It is no doubt to be expected that the amount secured under a charge of a unit will be deducted from the amounts distributable to the former unit-holder of that unit at the end of the winding up.

It is possible that the amount outstanding may exceed the value of the unit, either through overborrowing or because the charge is an all-moneys charge securing borrowing of the unit-holder generally. The chargee

To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to LexisLibrary or register for a free trial