A&I forms for bankrupts

When the Court makes an order for bankruptcy, all of the bankrupt’s estates and interests in land vest in the Official Assignee under section 101 of the Insolvency Act 2006.  The only exception to this, is land held by the bankrupt in trust for another person as set out in section 104 of that Act. 

Official Assignee as registered owner

The OA may apply by transmission to be registered as the owner of the bankrupt’s estates or interests in land, under section 87 of the Land Transfer Act 2017.  If the OA then deals with the land, for example to transfer the land to a third-party, the OA should sign a Public Corporate A&I form. 

Effect on joint tenancy

If the land is held by two or more owners in a joint tenancy and one of the owners becomes bankrupt, the transmission to the OA will break the joint tenancy and the OA will become the owner of the bankrupt’s share in the land as a tenant in common, for example:

• If the land is owned by two joint tenants and one of the owners is adjudicated bankrupt, the OA and the other owner will become tenants-in-common as to a one-half share each.
• If the land is owned by three joint tenants, the OA will become the owner of a one-third share as tenant-in-common, and the other two owners will together own a two-thirds share as joint tenants.
  For further guidance on the registration and evidentiary requirements for transmission instruments, see our transmission instruments page.

Transmission instruments

Bankrupt as registered owner

If an undischarged bankrupt wants to deal with their estate or interest in land, the practitioner must either:

• obtain authority from the OA in the form of a Public Corporate A&I form - the signed A&I form should be retained as evidence together with a copy of the Court order adjudicating the person bankrupt, or
• obtain written consent from the OA - the client will sign a Private Individual A&I form, modifying clause 4(c) by deleting the word “not” from the certification, and the client’s A&I form should be retained as evidence together with the consent from the OA.

Bankrupt holding land in trust

Where a bankrupt is not the legal or beneficial owner of the property but is holding title as a trustee or executor the OA need not be involved.  The client will sign a Private Individual A&I form modifying clause 4(c) by deleting “not” from the certification and recording the title is held as trustee or executor, for example:

“4(c) I am an undischarged bankrupt but hold title as trustee / executor”