R
Rosie61
- Original Poster
- #1
As I understand it Law of Property Act Receivers only have limited powers, however their powers may be extended by express terms in a legal charge.
A friend is having big problems with a receiver. This is the text of a letter from their lender (a big Bank) notifying of the appointment of receivers-
In accordance with the provisions of a mortgage deed dated xxxx made by xxxx in favour of xxxxx we hereby appoint xxxx and xxxx to be joint LPA receivers of the property known as xxxx charged by the mortgage.
From my limited knowledge this suggests that the receivers are fixed charge, not LPA, and any powers they have should be set out in the mortgage deed. Can anyone clarify please.
Secondly, if the mortgage against the property is no longer in arrears is it lawfully right that the receivers continue to have control of the property? The lender in this case is refusing to hand back control of the property to the mortgagor, and the receivership is continues The receivers are failing to carry out repairs and the property is now looking somewhat neglected. Think it may be a deliberate ploy so they can push for a sale and make a quick buck.
A friend is having big problems with a receiver. This is the text of a letter from their lender (a big Bank) notifying of the appointment of receivers-
In accordance with the provisions of a mortgage deed dated xxxx made by xxxx in favour of xxxxx we hereby appoint xxxx and xxxx to be joint LPA receivers of the property known as xxxx charged by the mortgage.
From my limited knowledge this suggests that the receivers are fixed charge, not LPA, and any powers they have should be set out in the mortgage deed. Can anyone clarify please.
Secondly, if the mortgage against the property is no longer in arrears is it lawfully right that the receivers continue to have control of the property? The lender in this case is refusing to hand back control of the property to the mortgagor, and the receivership is continues The receivers are failing to carry out repairs and the property is now looking somewhat neglected. Think it may be a deliberate ploy so they can push for a sale and make a quick buck.
