Debentures under CAMA 2020: sections 191 to 234
Chapter 9 covers borrowing by a company: debentures, charges over its property, and the registers and filings that go with them.
Chapter 9 of Part B has 44 sections. Every section is listed below with its title.
Guides in this chapter
- Debentures, floating charges and debenture trust deeds under CAMA 2020Sections 191 to 214 and 232 to 233 cover borrowing, debentures, fixed and floating charges, trust deeds and enforcement.ss. 191-214
- Registering company charges under CAMA 2020: the 90-day rule and registersSections 215 to 231 explain which charges must be registered, the 90-day deadline, the Commission’s register and the company’s own registers.ss. 215-231
Key rules in this chapter
- A fixed charge has priority over a floating charge (section 204).
- A company offering debentures to the public must first execute a trust deed (section 208).
- A registrable charge is void against the liquidator and creditors unless registered within 90 days (section 222).
- Registration fees cannot exceed 0.35% of the value of the charge (section 222(12)).
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Source: the Companies and Allied Matters Act 2020 as published in the Official Gazette.