SCHEDULE A1 Moratorium where directors propose voluntary arrangement
Part III Effects of moratorium
F1 Disposal of charged property, etc.
F221
(1)
Where property is disposed of under paragraph 20 in its application to Scotland, the company shall grant to the disponee an appropriate document of transfer or conveyance of the property, and
(a)
that document, or
(b)
where any recording, intimation or registration of the document is a legal requirement for completion of title to the property, that recording, intimation or registration,
has the effect of disencumbering the property of, or (as the case may be) freeing the property from, the security.
(2)
Where goods in the possession of the company under a hire-purchase agreement are disposed of under paragraph 20 in its application to Scotland, the disposal has the effect of extinguishing, as against the disponee, all rights of the owner of the goods under the agreement.