Rule 14.19 Realisation or surrender of security by creditorC1
If a creditor who has valued a security subsequently realises the security (whether or not at the instance of the office-holder)—
the net amount realised must be treated in all respects (including in relation to any valuation in a proof) as an amended valuation made by the creditor; and
the creditor may prove for the balance of the creditor's debt.
A creditor who voluntarily surrenders a security may prove for the whole of the creditor's debt as if it were unsecured.
Annotations
Modifications
- C1
Rules 14.1-14.24 applied (with modifications) (19.3.2024) by The Water Industry (Special Administration) (England and Wales) Rules 2024 (S.I. 2024/229), rules 1, 5, 86-103, Sch. (with rule 2(2))
Notes on Part 14
Textual amendments
Notes on Chapter 2
Textual amendments
- F1
Words in Pt. 14 Ch. 2 heading inserted (1.10.2021) by The Insolvency (England and Wales) (No.2) (Amendment) Rules 2021 (S.I. 2021/1028), rules 1, 54 (with rules 4, 5)