Appropriation of payments meaning

Aim of this flowchart Under section 19 of the Financial Services and Markets Act 2000, anyone who carries on a regulated activity in the UK in the course of business, without an applicable exclusion or exemption, must hold authorisation from the Prudential Regulation Authority (PRA) and/or the Financial Conduct Authority (FCA). This requirement is referred to as the general prohibition. For further detail on the general prohibition and the scope of regulated activities, consult the Practice Notes: The general prohibition and implications of its breach, and What are regulated activities? This flowchart is intended to assist in deciding whether a person is undertaking the regulated activities of effecting and carrying out contracts of insurance as principal, pursuant to article 10(1) and (2) of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 (SI 2001/544) (RAO). Any references here to PERG are to the FCA’s Perimeter Guidance Manual, which provides regulatory guidance within the FCA Handbook. It serves as a guide to the FCA Handbook...

This glossary sets out numerous expressions frequently encountered in the restructuring arena. Words appearing in the definitions in bold are explained in other entries in this glossary. For further banking terminology, see the principal Banking & Finance Glossary. Restructuring glossary—A Acceleration: Acceleration means the agent, acting on directions from the majority lenders after an event of default, takes formal action, for example calling for early repayment of the facility. Ad-hoc committee: A temporary creditors’ group (often contrasted with a formal committee) that lacks any entitlement to official recognition. Administration: A process under the IA 1986 in which a financially distressed company is operated by an administrator as a going concern before longer-term outcomes, such as break-up and sale, are pursued. Administrator: An Insolvency Practitioner named by the court, a Qualifying floating charge holder, the directors or the company, to take control and fulfil one of the purposes in IA 1986, Sch B1. Administrative receivership: Arises when a company breaches the terms of...

This glossary sets out numerous expressions regularly encountered in the restructuring & insolvency sphere. Words shown in bold within definitions are themselves explained in other entries in this glossary as well. A Article X The MLIJ contains a single provision named Article X, aimed at jurisdictions that have already implemented the MLCBI, like England, or are weighing its adoption. Article X states: ‘Not withstanding any prior interpretation to the contrary, the relief available under [insert a cross-reference to the legislation of this State enacting Article 21 of the UNCITRAL Model Law on Cross-Border Insolvency] includes recognition and enforcement of a judgment’ (see Practice Note: UNCITRAL model law on recognition and enforcement of insolvency-related judgments (MLIJ): Article X). Asset-backed security (ABS) A form of security anchored by asset pools, for example loans, leases, and credit card receivables. Assimilated law From 1 January 2024, ‘retained law’ has been retitled ‘assimilated law’. The body of domestic law originally arising from EU obligations, created by the European...

Receivables The term ‘receivables’ is commonly used to mean book debts, though, in strict usage, book debts is the narrower concept, referring to debts accruing in the ordinary course of trade that are usually entered in a company’s trade books. A receivable has a broader reach than a ‘book debt’ and covers: book debts the right to receive a payment under a loan agreement rights to payments under contracts rights to refunds of tax All other liquidated monetary claims of the security provider are captured by the expression ‘receivable’. In many cases, a substantial portion of the value in a security package resides in receivables owed to the security provider. Determining how best to realise that value is a pivotal element of any enforcement strategy. Collection by a receiver or administrator, once appointed, is a common approach. Where there is a large portfolio of debts that may take considerable time to recover, the security holder or its delegate may turn...

This Deed is made on [ insert day and month ] 20[ insert year ] Parties [ Insert name of Chargor ], being a company incorporated in England and Wales, with registered number [ insert company number ], and whose registered office is at [ insert address ] (the “ Chargor ”); and 1 [ Insert name of Security Agent ], acting as security agent and trustee for the Finance Parties pursuant to the terms and conditions set out in the [ Facilities Agreement OR Intercreditor Agreement OR Security Trust Deed ] (the “ Security Agent ”). Recitals: (A) The Finance Parties have consented to provide loan facilities subject to the terms and conditions set out in the Facilities Agreement (as defined below). (B) As a condition precedent to the loan facilities becoming available, the Chargor must execute this Deed for the purpose of granting security in favour of the Security Agent in relation to the Secured Obligations (as defined below)...

This Deed is executed on [ insert day and month ] 20[ insert year ] Parties [ insert name of Chargor ], a company incorporated in England and Wales with registered number [ insert company number ], with its registered office at [ insert address ] (the Chargor); and [ insert name of Lender ] of [ insert address ] (the Lender). Recitals: The Lender has agreed to provide a loan facility to the Chargor on the terms and conditions contained in the Facility Agreement (as defined below). As a condition precedent to the availability of that facility, the Chargor must enter into this Deed to create security in favour of the Lender for the Secured Obligations (as defined below)...

This Deed is dated [ insert day and month ] 20[ insert year ] and is entered into by the parties set out below. Parties [ insert name of Chargor ], a company registered in England and Wales under number [ insert company number ], with its registered office at [ insert address ] (the Chargor); and [ insert name of Lender ] of [ insert address ] (the Lender). Recitals: The Lender has consented to provide a loan facility to the Chargor on the terms and conditions set out in, and subject to, the Facility Agreement (as defined below). It is a condition precedent to the availability of that facility that the Chargor enter into this Deed for the purpose of granting security in favour of the Lender in respect of the Secured Obligations (as defined below). ...