|
My Service User is the legal owner of a property (shops below and flat above, he lives in the flat and rented out shops). He took out a commercial loan on the security of the whole propety, he could not keep up the repayments, the lender appointed Receivers under the Law of Property Act 1925 and teh terms of the mortgage (he has NOT been made bankrupt) - the Appointee document states 'they shall be the agents of the Borrower for all purposes and the Borrower shall be solely responsible for their acts and defaults.' The mortgage doc does not give more info, but I suspect the powers etc are in statute? Recievers have issued shop tenants new tenancy agreements and charging my SU rent. They have found a purchaser who will buy subject to all current tenancies, and my SU will remain as a tenant; ie they are acting as the owners and my SU has no power or control over the property.
The Receivers are charging him rent, he has applied for Housing Benefit. He has been refused because, amongst other things, he is still the legal owner.
Does anyone know where I can find out more about Receivers in this situation and where does the beneficial interest lie? Does my SU hold on trust for the Recievers? A colleague mentioned there's been a recent Upper Trib or CA, but we cant find it now.
I work at Welfare Rights Service - Not Leic Law Centre anymore, there's no option in menu's for editing my profile.
Ferhana Bhogadia, Welfare Rights Service, Leicester City Council.
Tel: 0116 225 2452.
|
