Enforcing a charging order over land
Enforcing a charging order over land

The following Property guidance note provides comprehensive and up to date legal information covering:

  • Enforcing a charging order over land
  • Obtaining an order for sale
  • How the court decides
  • The order
  • Enforcing a charging order securing an instalments order
  • Financial threshold for enforcement

Once a charging order has been obtained, the creditor has security for the debt, but if the debt remains unpaid the next step for the creditor is to enforce the order against the debtor. Subject to the provisions of the Charging Orders Act 1979, a charging order takes effect and is enforceable in the same manner as an equitable charge. In practice, enforcement means obtaining an order for sale.

Obtaining an order for sale

A charging order only secures the value of a judgment debt, it does not satisfy it. The next step after obtaining a final order is to seek satisfaction of the judgment debt by obtaining an order for the sale of the judgment debtor’s property subject to the charging order.

To do this you will need to issue a claim for an order for sale under CPR 73.10C. For guidance on the procedure, what and where to file your claim, see Practice Note: Order for sale—how to enforce a charging order. Obtaining an order for sale is not always the most straight forward or cost-effective option, to identify some of the potential obstacles, see Practice Note: Obtaining an order for sale to enforce a charging order—potential difficulties.

How the court decides

Where the property is solely owned by the judgment debtor, the court will be likely