Book contents
- Frontmatter
- Contents
- General editors' preface
- Preface
- Contributors to the volume
- Contributors to the case studies
- List of abbreviations
- Select bibliographies for jurisdictions represented
- Part I Setting the scene
- Part II The case studies
- Case 1 Creation and termination of the management relationship; powers of the manager
- Case 2 Investment duties
- Case 3 Conflict of interest
- Case 4 Basic insolvency situation
- Case 5 Insolvency of investment manager
- Case 6 Tracing
- Case 7 Choice of law
- Case 8 Pensions funds
- Case 9 Collective investment schemes
- Case 10 Multiple debenture holders
- Case 11 Securitisation
- Part III Conclusions
- Index
Case 10 - Multiple debenture holders
Published online by Cambridge University Press: 22 August 2009
- Frontmatter
- Contents
- General editors' preface
- Preface
- Contributors to the volume
- Contributors to the case studies
- List of abbreviations
- Select bibliographies for jurisdictions represented
- Part I Setting the scene
- Part II The case studies
- Case 1 Creation and termination of the management relationship; powers of the manager
- Case 2 Investment duties
- Case 3 Conflict of interest
- Case 4 Basic insolvency situation
- Case 5 Insolvency of investment manager
- Case 6 Tracing
- Case 7 Choice of law
- Case 8 Pensions funds
- Case 9 Collective investment schemes
- Case 10 Multiple debenture holders
- Case 11 Securitisation
- Part III Conclusions
- Index
Summary
Case
A company, XYZ Ltd, wishes to raise money in the financial markets. It is willing and able to give real security to secure the debt. The transaction must be structured so that XYZ Ltd can issue secured debt instruments to multiple investors, in such a way that each investor holds the same kind of real security over the same assets, and so that the enforcement of the security will be practicable. How can these goals be realised?
Discussion
AUSTRIA
There exists in Austrian law an old statute which governs the transaction. This is the Gesetz vom 24. April 1874 betreffend die gemeinsame Vertretung der Rechte der Besitzer von auf Inhaber lautenden oder durch Indossament übertragbaren Teilschuldverschreibungen und die bücherliche Behandlung der für solche Teilschuldverschreibungen eingeräumten Hypothekarrechte. This statute deals with Teilschuldverschreibungen. These are bonds negotiable on the capital market, issued by the company in situations like those of Case 10.
Such bonds can be secured by a mortgage on the immovable property of the company issuing the bonds. The statute enacts special provisions for such a security. The mortgage is created by presenting a mortgage deed to the court responsible for the land register. This document deed has to be drawn up by the company issuing the bonds. The individual bondholder is not registered in the land register. Only the total amount for which the bonds are issued, the number of bonds issued and the dates at which they are to be paid are registered.
- Type
- Chapter
- Information
- Commercial Trusts in European Private Law , pp. 486 - 504Publisher: Cambridge University PressPrint publication year: 2005