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    PracticeACCAACCA LW — Corporate and Business Law Practice Exam 4Question 38
    Easy1 markMultiple Choice
    Corporate and Business LawSection ASyllabus ECapital and Financing

    ACCA · Question 38 · Corporate and Business Law

    Within how many days must a newly created charge (such as a mortgage over company property) be registered at Companies House to ensure it is valid against a liquidator or administrator?

    Answer options:

    A.

    14 days

    B.

    21 days

    C.

    28 days

    D.

    30 days

    How to approach this question

    Recall the statutory time limit for registering company charges.

    Full Answer

    B.21 days✓ Correct
    Under Section 859A of the Companies Act 2006, a charge created by a company must be registered at Companies House within 21 days beginning with the day after the day on which the charge is created. Failure to do so makes the charge void against a liquidator, administrator, or creditor.

    Common mistakes

    Confusing the 21-day charge registration rule with the 14-day meeting notice rule.
    Question 37All questionsQuestion 39

    Practice the full ACCA LW — Corporate and Business Law Practice Exam 4

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