Barbados Trust Co v Bank of Zambia [2007] EWCA Civ 148; [2007] 1 Lloyd’s Rep 495

The issue of trusts and no-assignment clauses formed much of the discussion in the case of Barbados Trust Co v Bank of Zambia [2007] EWCA Civ 148; [2007] 1 Lloyd’s Rep 495. The case involved an oil import facility agreement the terms of which are as follows: An assignment was made by the lender of […]

08, 15, 2015
Comments Off on 15 Declaration of Trust

By whiggs

Transfer of financial assets in transactions

15 Declaration of Trust

We now come to one of the more interesting and challenging aspects of the topic of transfer of property in financing transactions. Declarations of trust are commonly used as the mechanism of transferring assets in financing transactions. It is a declaration by an originator of property that it holds that property on trust. In a […]

08, 15, 2015
Comments Off on 14 Distinction between a novation and an assignment

By whiggs

Transfer of financial assets in transactions

14 Distinction between a novation and an assignment

the assignee in an assignment does not become a party to the initial contract between the debtor and the assignor. This is comparable to a novation in so far that the parties of the novation do not become parties to the initial contract because a new contract is created whereas in an assignment the underlying […]

08, 15, 2015
Comments Off on 13 Consent to novation

By whiggs

Transfer of financial assets in transactions

13 Consent to novation

In a lending arrangement the borrower has to be a party to the novation process although it will usually be the case that the express terms of the loan agreement provide that the borrowers consent is not required for the novation to take effect. In the normal course, the documentation required to effect a novation […]