Royal Bank of Scotland Plc v Wilson and Another: SC 24 Nov 2010

(Scotland) Neighbours had each granted a standard security over their respective properties to the bank. The charge agreements contained personal covenants to repay the sums borrowed on demand. The land-owners appealed against an order for ejectment.
Held: The borrowers’ appeal succeeded. The 1970 Act created the standard security but it was a very technical Act. The chargors said that the notice given by the bank was defective under the Act having failed to state that it was exercising its powers under the charge, and failing to give notice to each chargor. Instead of applying under the notice, the bank applied under section 24. However, section 24 could not be used in substitution for a calling up notice. A certificate of default is an item of evidence created for use in proceedings and is not a ‘formal requisition’ under section 5, since that requisition has to be made before any proceedings are begun.
Section 19(1) imposes mandatory requirements, and is not merely permissive.

Lord Hope, Deputy President, Lord Rodger, Lord Walker, Lady Hale, Lord Clarke
[2010] UKSC 50, UKSC 2009/0228, 2010 SLT 1227, 2010 GWD 39-792, 2010 Hous LR 88, 2010 SLT 1227
Bailii, SC Summary, SC, Bailii Summary
Conveyancing and Feudal Reform (Scotland) Act 1970 5 19(1) 24, Heritable Securities (Scotland) Act 1894 5
CitedAIB Group (UK) Plc (Formerly Allied Irish Banks Plc and AIB Finance Limited) v Martin and Another HL 13-Dec-2001
Where a mortgage was taken out by business partners, their liability was joint and several. Partners had taken out a loan, but the terms of the mortgage appeared to make each debtor liable for all sums due from either of them, including for debts to . .
See AlsoThe Royal Bank of Scotland Plc v Wilson and Wilson (Ap) Wilson and Wilson OHCS 9-Jul-2003
. .
Appeal fromRoyal Bank of Scotland Plc v Wilson and Others SCS 5-May-2009
The bank appealed against refusal of ejectment under a charge.
Held: The appeal failed. . .
CitedMulti-Link Leisure Developments v North Lanarkshire Council SCS 30-Dec-2009
Landlords appealed against a ruling that the ‘full market value’ of the presents to be paid by the tenants on exercising an option contained in their lease was to be set by reference to its intended use.
Held: The appeal succeeded. The words . .

Lists of cited by and citing cases may be incomplete.

Banking, Land

Updated: 01 November 2021; Ref: scu.426474