Crystallisation of a floating charge (Saw (SW) 2010 Ltd and another v Wilson and others)

Table of contents

• Original news
• What was the background to the appeal?
• What were the legal issues that the Court of Appeal had to decide?
• What did the Court of Appeal decide and why?
• To what extent is the judgment helpful in clarifying the law?
• What practical lessons can lawyers advising lenders at the time that security is being granted take away from this case?
• What practical lessons can lawyers advising lenders or administrators at the time of enforcement take away from this case?

Article summary

Restructuring & Insolvency analysis: What are the legal consequences of crystallisation of a floating charge? Tina Kyriakides, barrister at Radcliffe Chambers, examines the Court of Appeal’s answer in Saw (SW) 2010 Ltd and another v Wilson and other and says the decision confirms that whether a charge is a qualifying floating charge is to be determined at the time of its creation.