Seizing bonds and securities under a writ of fieri facias
by David Carter on 24 March 2011
In an earlier article, I covered the regulations around the seizure of money and banknotes under a writ of fieri facias (fi fa), as per the Judgments Act of 1838.
This act and the Courts Act 2003 also allow for the seizure of bonds, specialities or securities for money belonging to the judgment debtor.
Seizure
High Court Enforcement Officers (HCEOs) can seize bonds, specialities or securities for money and then recover the money payable or secured by them to pay off the judgment debt.
A speciality is an obligation contracted by matter of record or an instrument under seal. In terms of securities, a life assurance policy is not considered to be a security for money, so cannot be seized.
It is very likely that the HCEO would physically remove the papers from the debtor, rather than leaving them under a Walking Possession Agreement, to both protect them and because removal is much easier for paperwork than larger, heavier items, such as computers or stock.
Obtaining payment
Once in possession of the bonds, securities or specialities, the HCEO is permitted to sue in his own name to obtain the money payable or secured. In cases where costs may be incurred while converting the bonds etc, the HCEO can ask the judgment creditor for an indemnity that he will pay any such costs.
Once the payment has been made by the person or organisation liable under the bond, security or speciality, they are then deemed to have discharged their liability.
Any money left, after the creditor has been repaid (including court costs and interest) and the HCEO has been reimbursed for fees and expenses, will be returned to the judgment debtor.
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Disclaimer: The statements and opinions expressed in this article are those of the author and do not necessarily reflect those of Sheriffs High Court Enforcement Ltd, trading as The Sheriffs Office. Sheriffs High Court Enforcement Ltd does not take any responsibility for the views of the author. The author will not be held responsible for any comments posted by visitors to this site. Please note that this article does not constitute legal advice. The author has used his best endeavours to make this article as accurate and complete as possible, but requests that the reader be aware that the law of England and Wales frequently changes. The author strongly advises the reader to take legal advice before embarking on any enforcement action.
