Right To Receive

Right to receive, the sums secured will accrue, not when the charge is granted, but when the future event occurs. Thus, in the case of a conventional mortgage, the charge is immediately effective but the right to receive the sum secured does not accrue until the legal redemption date has passed. Similarly, there is no inconsistency between having a right to enforce a charge by sale at a time when there is only a deferred right to receive the proceeds. Such a right is sufficient to confer on the creditor the necessary interest enabling him to apply for and obtain an order for sale and such an order, if made, will remove the element of deferral, See English Insolvency Act, 1986 (c 45), s. 313; (English) Limitation Act, 1980, s. 20(1), Gotham v. Doodes, (2007) 1 WLR 86 CA.