A suitable sanction? An for the New Law Journal (NLJ) 21 November 2024
In an article for the New Law Journal (the NLJ) Caroline Shea KC and Cecily Crampin discuss what happens when statutory provisions governing enforcement of a regulated mortgage contract are not observed: a recent Supreme Court decision may provide some welcome guidance.
- The decision in A1 Properties (Sunderland) Ltd v Tudor Studios RTM Co Ltd on the correct approach where a mandatory statutory provision makes no provision for the consequences of breach is applicable in mortgage law to the effect of noncompliance with s 126 of the Consumer Credit Act 1974, which requires a court order before enforcement of a regulated mortgage contract.
- Using the approach suggested supports a conclusion that lack of a court order makes the enforcement void. Judicial consideration of this point is needed to inform lender practice.
You can read the article here.
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