R A Securities Ltd v Mercantile Credit Co Ltd
R A Securities Ltd v Mercantile Credit Co Ltd
- 1994
- Estates Gazette (1994) 44 EG 242-244(3) .
ChD 27 May 1994. M was the original tenant under a lease. Lease was first assigned to T2 then T3. T3 then entered into a voluntary arrangement pursuant to the Insolvency Act 1986, Part I. R claimed arrears of rent and service charges before and after the voluntary arrangement from M. R did not attend the creditors` meeting called under s3 and thus by s5(2) was deemed to be a party to the arrangement and bound by it. M contended that by arrangement R accepted a surrender of the lease and M`s liability for post- arrangement rents was discharged. Liability for pre-arrangement rents was denied on the basis that the arrangement was a settlement by T3. Judgment given to R under Ords 14 and 14A of the RSC.
ASSIGNMENT
INSOLVENCY ACT 1986
Insolvency
LEASES
ORIGINAL TENANT LIABILITY
R A SECURITIES LTD V MERCANTILE CREDIT CO LTD
RENT ARREARS
VOLUNTARY ARRANGEMENTS
ChD 27 May 1994. M was the original tenant under a lease. Lease was first assigned to T2 then T3. T3 then entered into a voluntary arrangement pursuant to the Insolvency Act 1986, Part I. R claimed arrears of rent and service charges before and after the voluntary arrangement from M. R did not attend the creditors` meeting called under s3 and thus by s5(2) was deemed to be a party to the arrangement and bound by it. M contended that by arrangement R accepted a surrender of the lease and M`s liability for post- arrangement rents was discharged. Liability for pre-arrangement rents was denied on the basis that the arrangement was a settlement by T3. Judgment given to R under Ords 14 and 14A of the RSC.
ASSIGNMENT
INSOLVENCY ACT 1986
Insolvency
LEASES
ORIGINAL TENANT LIABILITY
R A SECURITIES LTD V MERCANTILE CREDIT CO LTD
RENT ARREARS
VOLUNTARY ARRANGEMENTS