Property receivership

Property receivership guidance:

Date[insert date of appointment] Parties 1 [insert name of Lender] of [insert address][incorporated in England and Wales with company registration number [insert company...

Precedents

The receiver’s duty The duty owed by a receiver to a mortgagor when selling a property is the same as that owed by the mortgagee to a mortgagor: • in exercising his power...

Practice Note

Repayment covenant A claim under the repayment covenant in the principal mortgage can be made against any covenantor, whether principal or surety. Whether or not a...

Practice Note

This Practice Note covers receivers who are appointed by the court, including the circumstances in which a court will appoint a receiver and who may be appointed by the...

Practice Note

This Practice Note considers the position of a fixed charge receiver appointed over a development property—commonly a residential block of flats under construction—where...

Practice Note

This Deed is made on [insert date] Parties 1 [insert name of lender][a company] incorporated in [England and Wales] under number [insert registered number] whose...

Precedents

[To be printed on headed notepaper of the lender making demand] To: [Insert name of individual and/or position] [insert name of the Borrower or other relevant entity]...

Precedents

[To be printed on headed notepaper of the lender making demand] To: [Insert name of individual and/or position] [insert name of the Guarantor or other relevant entity]...

Precedents

Where the a fixed charge receiver is acting on behalf of the seller in selling a property, the receiver's underlying objective is to have a 'clean deal'—that is,...

Practice Note

Bona vacantia means ‘goods without an owner’ and is a relevant consideration where any company is at risk of being struck off and dissolved. Any assets which have not...

Practice Note

Effect of administration order on LPA receivership Where a company is in administration, any receiver of part of the company's property shall vacate office if the...

Practice Note

Statutory moratorium The appointment of an administrative receiver does not create an automatic statutory moratorium. As such, a company’s creditors may commence or...

Practice Note

Impact of appointment The effect of the appointment of an LPA/fixed charge receiver is very different from that of an appointment of an administrator, liquidator or...

Practice Note

A receiver generally acts as agent of the mortgagor in collecting income from and disposing of the assets in respect of which the receiver has been appointed. This...

Practice Note

In an enforcement scenario, it is necessary to confirm that the charge under which you wish to appoint a receiver is valid. This Practice Note considers the impact on the...

Practice Note

This Practice Note considers some issues that may arise in the context of the enforcement of security by the appointment of a receiver over property that is subject to a...

Practice Note

Security over land can be taken by way of mortgage or charge with the appropriate form often depending on the significance of the land to the borrower's business or the...

Practice Note

This Practice Note considers the position of a security holder who has an equitable mortgage or charge over land, in particular the powers that are available to complete...

Practice Note

See Practice Note: Legal mortgages and legal charges. Equitable mortgages Certain historical advantages to an equitable mortgage over a legal mortgage no...

Practice Note

This Practice Note addresses the Jersey law issues concerning the enforcement of secured immovable property interests in respect of: • Jersey-incorporated entities (or...

Practice Note

[To be printed on headed notepaper of the company] To: [Name and address of the lender who will appoint the receiver] [insert name of the lender] [insert address] [insert...

Precedents

[name of company] [company number] (the company) Meeting of the Board of Directors held at [address where meeting takes place] [by telephone] on [blank date] at [time]...

Precedents

Why an LPA/fixed charge receiver could be invalidly appointed An LPA/fixed charge receiver can be invalidly appointed for two main reasons: • first, if there is some...

Practice Note

This Practice Note considers the interaction between the statutory moratorium under Schedule B1 to the Insolvency Act 1986 (IA 1986), which prevents most creditor or...

Practice Note

When a company or individual is in financial difficulties, a mortgagee will commonly seek to enforce their security by appointing a receiver where they are permitted to...

Practice Note

This Practice Note covers the rights and responsibilities of a mortgagee in possession. Rights A legal mortgagee has a right to possession of the property. However, this...

Practice Note

A legal mortgagee has a right to sell the property, free from the mortgagor’s interest. However, this statutory power can be limited by contract, although most modern...

Practice Note

So long as the equity of redemption remains vested in the mortgagor, the mortgagee may not sell the property except under an express or implied power of sale, or under a...

Practice Note

Whether or not a mortgagee deed includes an express power, the Law of Property Act 1925 confers a statutory power of sale on lenders. The Administration of Justice Act...

Practice Note

In this Practice Note, ‘borrower’ and ‘mortgagor’ are used interchangeably, as are ‘lender’ and ‘mortgagee’. This Practice Note also applies to fixed charges (although...

Practice Note