(1)Any application by a trustee of a bankrupt’s estate under section 14 of the Trusts of Land and Appointment of Trustees Act 1996 (powers of court in relation to trusts of land) for an order under that section for the sale of land shall be made to the court having jurisdiction in relation to the bankruptcy.
(2)On such an application the court shall make such order as it thinks just and reasonable having regard to—
(a)the interests of the bankrupt’s creditors;
(b)where the application is made in respect of land which includes a dwelling house which is or has been the home of the bankrupt or the bankrupt’s spouse or civil partner or former spouse or former civil partner —
(i)the conduct of the spouse, civil partner, former spouse or former civil partner , so far as contributing to the bankruptcy,
(ii)the needs and financial resources of the spouse, civil partner, former spouse or former civil partner , and
(iii)the needs of any children; and
(c)all the circumstances of the case other than the needs of the bankrupt.
(3)Where such an application is made after the end of the period of one year beginning with the first vesting under Chapter IV of this Part of the bankrupt’s estate in a trustee, the court shall assume, unless the circumstances of the case are exceptional, that the interests of the bankrupt’s creditors outweigh all other considerations.
(4)The powers conferred on the court by this section are exercisable on an application whether it is made before or after the commencement of this section.
Cases considering section 335A 37
[2007] EWCA Civ 748 · 19 July 2007Interprets
Interprets section 335A as the governing statutory regime for a trustee in bankruptcy’s section 14 application for sale. (see paras [7], [17], [25], [36])
Applies section 335A(1) to require the trustee’s application to be made to the court having jurisdiction in the bankruptcy. (see paras [23], [27], [36])
Applies the just-and-reasonable assessment, requiring regard to creditors’ interests, the former spouse’s conduct, needs and resources, children’s needs, and all circumstances other than the bankrupt’s needs. (see paras [7], [17], [27], [36])
Interprets section 335A(3) as requiring, after one year from vesting, an assumption that creditors’ interests outweigh all other considerations unless the circumstances are exceptional. Whether the exception applied was left for determination on the merits. (see paras [10], [16], [36], [38])
[2006] EWCA Civ 1080 · 25 July 2006
The court treated an order for sale as discretionary rather than available as of right. That feature was material to the conclusion that the trustee’s entitlement to receive the secured money remained deferred until a sale order was made. (see paras [36]-[38])
[2002] EWCA Civ 969 · 17 June 2002
The judgment applies section 335A to the trustee’s application for an order for sale and balances creditors’ interests against the interests of other persons. The court concludes that the public purpose of the hostel and the bankrupt’s personal circumstances do not justify refusing sale.
The judgment confirms that, after one year from vesting, the court must assume that the bankrupt’s creditors’ interests outweigh all other considerations unless the circumstances are exceptional. The circumstances relied on did not meet that threshold.
17 more judgments, and what each says about section 335A, are in the
case-law panel in the full Act.