PART 3Modification of insolvency law

Certain legislation restricting enforcement of security not to apply to financial collateral arrangements8

1

The following provisions of Schedule B1 to the Insolvency Act 1986 M1 (administration) shall not apply to any security interest created or otherwise arising under a financial collateral arrangement—

a

paragraph 43(2) (restriction on enforcement of security or repossession of goods) including that provision as applied by paragraph 44 (interim moratorium); F1...

F2aa

paragraph 65(2) (distribution);

b

paragraphs 70 and 71 (power of administrator to deal with charged property); F3and

F4c

paragraph 99(3) and (4) (administrator’s remuneration, expenses and liabilities).

2

Paragraph 41(2) of Schedule B1 to the Insolvency Act 1986 (receiver to vacate office when so required by administrator) shall not apply to a receiver appointed under a charge created or otherwise arising under a financial collateral arrangement.

3

The following provisions of the Insolvency Act 1986M2 (administration) shall not apply in relation to any security interest created or otherwise arising under a financial collateral arrangement—

a

sections 10(1)(b) and 11(3)(c) (restriction on enforcement of security while petition for administration order pending or order in force); and

b

section 15(1) and 15(2) (power of administrator to deal with charged property); F5and

F6c

section 19(4) and 19(5) (administrator’s remuneration, expenses and liabilities).

4

Section 11(2) of the Insolvency Act 1986 (receiver to vacate office when so required by administrator) shall not apply to a receiver appointed under a charge created or otherwise arising under a financial collateral arrangement.

F75

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