Richard Davis
October 2001
A paper based on a talk given to the Society of Construction Law in London on 7th March 2000.
This paper considers, by reference to recent case law, ways in which creditors other than banks lending against a fixed charge on debts can obtain security in construction receivables. This is done under three headings: proprietary security, contractual security and procedural security.
Introduction – Formal and informal insolvency – Proprietary security – Assignment of choses in action – Payment trusts – ‘Quistclose’ trusts – Breach of trust – Security interests – Contractual security – Termination for insolvency – etention – Suspension of payment – Procedural security – The administration procedure – ‘Pay now, argue later’ – Adjudication and suspension of payment – Adjudication and repudiation – Liability for repayment – Adjudication, bankruptcy and winding up – Conclusion.
The author:. ichard David MA (Cantab) is a consultant with Masons, solicitors.
Text 26 pages.
PDF file size: 127k