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Version status: In force | Document consolidation status: Updated to reflect all known changes
Version date: 6 April 2013 - onwards
Version 5 of 5

Regulation 4 Certain legislation requiring formalities not to apply to financial collateral arrangements

(1) Section 4 of the Statute of Frauds 1677 [1677 c. 3.] (no action on a third party’s promise unless in writing and signed) shall not apply (if it would otherwise do so) in relation to a financial collateral arrangement.

(2) Section 53(1 (c) of the Law of Property Act 1925 [1925 c. 20.] (disposition of equitable interest to be in writing and signed) shall not apply (if it would otherwise do so) in relation to a financial collateral arrangement.

(3) Section 136 of the Law of Property Act 1925 (legal assignments of things in action) shall not apply (if it would otherwise do so) in relation to a financial collateral arrangement, to the extent that the section requires an assignment to be signed by the assignor or a person authorised on its behalf, in order to be effectual in law.

(4) Sections 859A (charges created by a company) and 859H (consequence of failure to register charges created by a company) of the Companies Act 2006 shall not apply (if they would otherwise do so) in relation to a security financial collateral arrangement or any charge created or otherwise arising under a security financial collateral arrangement or, in Scotland, to relation to any charge created or arising under a financial collateral arrangement.