What if the book debts are covered only by a floating charge?
Where a receiver has not been appointed under a floating charge it falls to the liquidator of the company (including the official receiver when he/she occupies that position) to realise any book debts covered by the floating charge. The official receiver should instruct the contractor to collect the debts in the usual way. When the official receiver instructs Moon Beever he/she must make the contractor aware of that fact that the debts are covered by a floating charge. The charge-holder must be informed that there will be additional costs involved in the form of the contractor’s fee together with the official receiver’s usual Secretary of State fee and VAT that the charge-holder will be liable for. The preferential creditors will also be paid out of the proceeds before the charge-holder. The charge-holder should be asked for confirmation that he/she wishes the official receiver to proceed in these circumstances. Please note that this situation arises only rarely and should be referred
Related Questions
- Can an in-network dentist (PDP Dentist) charge me his or her "usual" fee when a dental procedure is not covered under my dental plan?
- What is the normal charge for parking in the Express Long Term Red car park when I don book online?
- Can I book a ticket for Jet Airways online? Do they charge for online servicing?
