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Angel Solicitors v Jenkins O'Dowd & Barth (a firm) and (1) Barclays Bank Plc and
(2) Close Brothers Limited and (3) Ellenwell Properties Ltd

Reference:              [2009] EWHC 46 (Ch); (2009) WLR (D); [2009] All ER (D) 133 (Jan)

Date:                    19 January 2009

Court:                  High Court

C applied for summary enforcement of undertakings given by D in the course
of conveying three properties. These were the usual form of undertaking to
discharge charges on completion of the transaction. Barclays had an
all-monies charge over two properties securing the indebtedness of
substantially in excess of the value of the properties.

Facts:          Close had an all-monies over the third property. D did not seek a redemption
figure prior to giving the undertakings. Barclays and Close openly indicated
that they would release their charges for amounts less than the full secured
indebtedness, such amounts being broadly the full net proceeds of sale
realised by the sales of the properties. D sought to join Barclays and Close
to the proceedings, arguing that Barclays and Close would have released
the charges for a lesser amount if asked for a redemption figure during the
course of the conveyancing transactions. D invited the Court to order an
inquiry as to what amount would have been agreed by Barclays and Close
at that time, on the basis that this was relevant as to the extent to which
the Court should enforce its undertakings.

The actual sums that Barclays and Close might have required in the past
had D sought a redemption figure at the correct time were irrelevant to the
Held:             question of enforcing the undertakings. There was no basis on which the
instant court could impose upon Barclays or Close a redemption figure
merely because it may have been prepared to agree a lesser figure at an
earlier time. The application to join Barclays and Close was dismissed
accordingly. C’s application for summary judgment was granted.

Barrister:                Ryan Clement appeared on behalf of C

Practice Areas:       Property

Conference Chambers