Regulation 43 Avoidance of certain charges

Section 889 applies to LLPs, modified so that it reads as follows—

“Charges void unless registered

889.

(1)

If an LLP creates a charge to which section 878 applies, the charge is void (so far as any security on the LLP’s property or any part of it is conferred by the charge) against—

(a)

the liquidator of the LLP,

(b)

an administrator of the LLP, and

(c)

any creditor of the LLP,

unless that section is complied with.

(2)

Subsection (1) is without prejudice to any contract or obligation for repayment of the money secured by the charge; and when a charge becomes void under this section the money secured by it immediately becomes payable.”.