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Re Yorkshire Woolcombers
If a charge has the following characteristics it is a floating charge
1. Charge on a certain class of assets
2. Class would change from time to time in the ordinary course of business
The company may carry on it's business in the ordinary way in relation to that class of asset
Bankruptcy and Diligence (Scotland) Act
Crystallisation may only take place after winding up commenced or appointment of administrative receiver, company ceasing to carry on business
Registration of charges
21 days to register or will be a unsecured loan
Priority
Fixed
Liquidation Expenses
Preferential debts (Employee claims, pension schemes, tax liabilities)
Floating charge holders