Ranking Agreement - Example Deeds

Among

(First) AB and CD, spouses, residing at 28 Safron Road, Millhill, Peterculter (hereinafter referred to as 'the borrowers')

and

(Second) BIG BANK PLC incorporated under the Companies Act (Number 12345), having their registered office at 123 High Street, Auchterarder (hereinafter referred to as 'the Bank')

and

(Third) BIGGER BUILDING SOCIETY, incorporated under the Building Societies Act, having its principal office at Bigger House, Park Avenue, London (hereinafter referred to as 'the lenders')

WHEREAS

(ONE) In security of the whole obligations to pay all sums of principal and interest due and to become due by the Borrowers to the Bank, the Borrowers have granted in favour of the Bank a Standard Security over the subjects known as 28 Safron Road, Peterculter (hereinafter referred to as “the subjects”) registered in the Land Register of Scotland on the 3 Dec. 2014 under Title Number ABN98765.

(TWO) In security of the whole obligations to pay all sums of principal and interest due and to become due by the Borrowers to the Lenders, the Borrowers have granted in favour of the Lenders a Standard Security over the said subjects dated 14 December Two Thousand and Fourteen and to be registered in the Land Register of even date with the registration of these presents.

(THREE) The Bank and the Lenders have agreed to enter into this Agreement for the purposes of regulating the respective priorities of the said Standard Securities in relation to each other but for no other purpose and the Borrowers concur with the arrangements as is testified by their execution of these presents.

NOW THEREFORE the Parties hereto have agreed and DO HEREBY AGREE that notwithstanding the respective dates or registration or intimation of the said Standard Securities or any provisions as to ranking contained therein and notwithstanding the date or dates on which the Bank and the Lenders may have made or may hereafter make the secured advances to the Borrowers:-

(First) The sums secured or to be secured by the said Standard Security in favour of the Lenders to the extent of FIFTY NINE THOUSAND POUNDS STERLING (£59,000) of principal and interest thereon shall be ranked and preferred on the said subjects and on the rents thereof in the event of a sale of the same prior to the sums secured or to be secured by the said Standard Security in favour of the Bank but declaring that the Bank have an unlimited second ranking; But that without prejudice to the rights of the Lenders in virtue of the said Standard Security in its favour in other respects.

(Second) Notwithstanding the provisions of Section 13 of the Conveyancing and Feudal Reform (Scotland) Act 1970 or any other rule of law which might operate to the contrary effect, the foregoing provisions as to ranking shall be valid and effective irrespective of (One) the date or dates on which sums are advanced or to be advanced by the Lenders to the Borrowers or have been or shall be drawn out by or debited to the Borrowers, the Bank having no concern with the composition of or fluctuation in the said sum or sums due by the Borrowers to the Lenders and (Two) the date or dates on which the sums are advanced or may be advanced by the Bank to the Borrowers or have been or shall be debited to the Borrowers, the Lenders having no concern with the composition of or fluctuations in the sum or sums secured and due to the Bank by the Borrowers.

(Third) The said Standard Securities in favour of the Lenders and in favour of the Bank respectively, are hereby varied to the extent specified in the foregoing Clauses and these presents shall be construed and receive effect as a variation within the meaning of Section 16 of the Conveyancing and Feudal Reform (Scotland) Act 1970: 

IN WITNESS WHEREOF these presents typewritten on this and the three preceding pages are subscribed for and on behalf of the Lenders by James William Anderson by authority of their Board of Directors, at London on the 21st December 2014 before witness Jean Smith, Clerk, employed at said Principal Office at London, by the Borrowers at Paisley on the 18th May 1999 before the witness Andrew Campbell, Solicitor of 77 Sunset Strip, Paisley and for and on behalf of the Bank by Michael Ross, as Attorney and Commissioner for the Bank, conform to Power of Attorney in his favour dated 22nd June and registered in the Books of Council and Session on the 3rd of July 2012 at Glasgow on the 29th December 2014 before witness Jui Ying Tseng, Bank Officer in Glasgow.

A B           C D                 Andrew Campbell (Witness)

JW Anderson xxxxxxxxxx J Smith (Witness)

M. RossxxxxxxxxxxxxxxxHui Ying Tseng (Witness)