Crystalisation Flashcards
Yorkshire Woolcombers
Definition of Floating Charge - over a class of assets present and future, the asset being capable of being used in the ordinary course of business - mortgagor free to deal
Illingworth -v- Houldsworth
Floating Charge - can deal with the subject of the charge as if the charge not in place (book debts)
Smith -v- Bridgend - Coslett Case
Ordinary Course of Business, Large machines, retained for works, not security
Interview Limited
Appointment of Receiver will crystalise. Ambulatory and shifting in nature
Latzur Limited
De-crystallisation - commencement of winding up -v- examinership
JD Brian
Automatic crystalisation clause - allowed leapfrog - corrected by EU Directive
Re Woodgriffe
Cessation of business will crystalise a charge
Monolithic Building Co
Unreg Charges - subsequent chargeholder took priority
Lombard -v- Amurec
Stamp cert issue - over 21 days - CRO issued Cert of Reg which was conclusive evidence of registration
Manning Furniture
Joplin Proviso - protects the rights of preferential creditors
Frank Bell
Lok at conduct - BOS charge took priority over charge in favour of Bell
Resinoid -v- Mica
3/5 - 6 month installments. late registration could not displace other creditors
International Retail
One that sits on their hands cannot displace creditors that did register
Victoria Housing -v- Ashburn
Extension may be refused of w/up is imminent
National Westminister -v- Spectrum
Book Debts - charge that is fixed in nature will prevent dealings with book debts by blocked account
Siebe Gorman -v- Barclays
Account that allows withdrawals as they please is not a blocked account
Keenan Bros
Fixed charge - special account required - must look at control
Wogans Drogheda
Allowed company to collect debts and had no control over the account. 1st held floating charge - COA if account is suspended, will not the deprive the chargeholder of rights of fixed charge. - WIDELY CRITISISED
Holidair
Same debenture as Wogan - held - not admissable to have regard to the conduct of the parties after the agreement.
Chaigley Forms
Simple ROT - Not reg - dead cattel
Charles Dougherty
Animal Feed - simple RT not complex enough to require registration - pre 409
Carroll Group
Proceeds of Sale - registerable - All the characteristic of fixed charge - registerable and void. No account, no fiduciary duty
Unitern Heating
Look at the language in the clause - no fiduciary relationship, registerable and void
Borden -v- Scottish Timber
Mixed goods - registerable - goods mixed irreversibly cannot rely on a simple ROT clause to retain title
Romalpa
All sums due clause - not registerable. goods that remained identifiable were sold under agency relationship which created a fiduciary duty and seller entitled to trace goods
