floating charge


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Related to floating charge: fixed charge

floating charge

a security created by a company by debenture (in Scotland, a floating charge) over its whole assets and undertaking for the time being. The point of this form of security is that the company may continue to conduct its business, disposing of some assets and acquiring others without having to obtain the consent of the debenture holders for each disposal. In the event of a default, the charge crystallizes and becomes fixed and enforceable over the assets held at that time.
References in periodicals archive ?
It is correct that the procedure to appoint a RM can be initiated at any time provided for in the contract by a floating charge holder.
75) Ordinarily, a charge against a bank account would be a floating charge.
Except for the three operation state for realizing the FPC multi-functions mentioned hereinbefore, the FPC DFIM has two other states, the speed limitation and floating charge.
The PWC report said: "The prescribed part, that part of any floating charge realisations that should be made available for unsecured creditors, is applicable in this instance.
When the solar panel is installed to receive maximum sunlight, it keeps a 9V DC floating charge on the P44's alkaline battery during daylight hours.
The FMLC also points out that, where the structured finance exception applies under the Enterprise Act 2002, an administrative receiver and liquidator might both be in office and carrying out their functions concurrently so that floating charge holders would have to bear two sets of costs and expenses.
At a creditors' meeting shortly afterwards, Middlesbrough Council, the building's owners, waived its rights to a floating charge on the centre of pounds 93,469.
The securities issued by Rolling Stock are secured by fixed and floating charges over the Rolling Stocks assets which primarily consist of a secured loan to Porterbrook which is secured by a fixed and floating charge over the leases and underlying rolling stock.
company law of respecting the priority of fixed and floating charges in corporate insolvencies (6) and, upon default, of allowing the holder of a floating charge over all or substantially all of the debtor's assets to appoint an administrative receiver/receiver to manage the company for the holder's benefit.
Single-figure draws are not helpful to Nothing Daunted, Red N' Socks, Parisien Star and Floating Charge, who otherwise have perfectly reasonable chances on the book.
The report by interim liquidators KPMG says: "Nine days after completion of this sale, the directors requested the floating charge holder Baltic Property Finance PLC to appoint a receiver"