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Section 72A: Floating charge holder not to appoint administrative receiver

Insolvency Act 1986 · 1986 c. 45View on legislation.gov.uk

Part III: Receivership — CHAPTER IV: PROHIBITION OF APPOINTMENT OF ADMINISTRATIVE RECEIVER

The holder of a qualifying floating charge in respect of a company's property may not appoint an administrative receiver of the company.

In Scotland, the holder of a qualifying floating charge in respect of a company's property may not appoint or apply to the court for the appointment of a receiver who on appointment would be an administrative receiver of property of the company.

In subsections (1) and (2)—

  • "holder of a qualifying floating charge in respect of a company's property" has the same meaning as in paragraph 14 of Schedule B1 to this Act, and

  • "administrative receiver" has the meaning given by section 251.

This section applies—

to a floating charge created on or after a date appointed by the Secretary of State by order made by statutory instrument, and
in spite of any provision of an agreement or instrument which purports to empower a person to appoint an administrative receiver (by whatever name).

An order under subsection (4)(a) may—

make provision which applies generally or only for a specified purpose;
make different provision for different purposes;
make transitional provision.

This section is subject to the exceptions specified in sections 72B to 72GA .

About this text

This legislation text comes from legislation.gov.uk. Contains public sector information licensed under the Open Government Licence v3.0. These source and reuse terms cover the legislation text, not Remedy's commentary.

Reuse reviewed 21 August 2026 under Open Government Licence v3.0.