365 Business Finance Ltd v Bellagio Hospitality WB Ltd and another; Court Enforcement Services Ltd v Burlington Credit Ltd

Judgment – Enforcement. The wording of Sch 12 to the Tribunals, Courts and Enforcement Act 2007 preserved the long established principle that a debtor's goods became bound by a writ from a particular point in time, and that it was only once the first writ was satisfied out of proceeds that the surplus (if any) could be applied to the second writ, in accordance with writ priority. The Queen's Bench Division so ruled in a dispute between two creditors (365 and Alvini) over which of them was entitled to the benefit of a payment of £12,050 which the debtor had made to an enforcement agent of Court Enforcement Services (CES), in relation to the Alvini debt, in circumstances where the writ of control concerning the 365 debt had been received by its enforcement agent first in time, and where 365 had deferred further action, and had been expecting its first instalment, under an agreement made with the debtor. The court dismissed CES's application to set aside a master's order, requiring it to pay over the money it had collected from the debtor to 365's enforcement agents. It held that priorities were established by the writs and their date of receipt, irrespective of the identities of the Hight Court Enforcement Officers in any given set of circumstances.

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