All sections · Part XXI: Miscellaneous Provisions
382 Modification of Civil Code of Seychelles with respect to companies
(1) With respect to companies (as defined in section 2 of this Act), the Civil
Code of Seychelles (as defined in section 2 of the Civil Code of
Seychelles Act) is modified as set out in subsections (2) to (5).
(2) That Article 2078 of the Civil Code of Seychelles shall not apply to
companies, and the following shall apply in substitution therefor —
(a) Subject to paragraphs (b) and (c), in the event of default by the
borrower in respect of obligations secured by a pawn, on
application by the pledgee or other interested person the Court
may order that the pawned property be retained by the pledgee
or sold as may be authorised by the Court or may make such
other or further order as the Court deems fit.
(b) A pledge of shares or other securities issued by a company
incorporated under the International Business Companies Act
may be enforced, without an order of the Court if so permitted
by the terms of the pledge, in accordance with the provisions of
Act (Pledges over shares).
(c) Paragraph (a) shall not affect the sale of pawned property as
provided for under paragraph (b) of article 2074.
(3) That Article 2079 of the Civil Code of Seychelles shall not apply to
companies, and the following shall apply in substitution therefor ―
(a) A pledgor shall remain the owner of pawned property, unless,
in the event of default in respect of obligations secured by a
pawn, the pawned property is sold —
(i) pursuant to an order of the Court; or
(ii) in the case of a pledge of shares or other securities
issued by a company incorporated under the
International Business Companies Act, in accordance
with the provisions of Sub-Part VII of Part V of the
International Business Companies Act (Pledges over
shares).
(b) Until such time that the obligations secured by the pawn are paid
and discharged in full or the pawned property is sold as envisaged
under in paragraph (a), the pawn will constitute security interests
over the pawned property in favour of the pledgee.
(4) That the second and third sentence of Article 2091-1 of the Civil Code of
Seychelles shall not apply to companies.
(5) That Article 2091-3 of the Civil Code of Seychelles shall not apply to
companies, and the following shall apply in substitution therefor —
(a) Subject to paragraph (b), in the event of crystallization a floating
charge, on application by the chargee or other interested person
the Court may order that the charged property be sold as may be
authorised by the Court, or that a receiver be appointed or may
make such other or further order as the Court deems fit.
(b) If so permitted under the terms of a written floating charge
agreement, in the event of crystallization a floating charge may
be enforced, without an order of the Court if so permitted by the
terms of the charge, in accordance with the provisions of Part IX
of the International Business Companies Act (Charges over
company property).
Code of Seychelles (as defined in section 2 of the Civil Code of
Seychelles Act) is modified as set out in subsections (2) to (5).
(2) That Article 2078 of the Civil Code of Seychelles shall not apply to
companies, and the following shall apply in substitution therefor —
(a) Subject to paragraphs (b) and (c), in the event of default by the
borrower in respect of obligations secured by a pawn, on
application by the pledgee or other interested person the Court
may order that the pawned property be retained by the pledgee
or sold as may be authorised by the Court or may make such
other or further order as the Court deems fit.
(b) A pledge of shares or other securities issued by a company
incorporated under the International Business Companies Act
may be enforced, without an order of the Court if so permitted
by the terms of the pledge, in accordance with the provisions of
Act (Pledges over shares).
(c) Paragraph (a) shall not affect the sale of pawned property as
provided for under paragraph (b) of article 2074.
(3) That Article 2079 of the Civil Code of Seychelles shall not apply to
companies, and the following shall apply in substitution therefor ―
(a) A pledgor shall remain the owner of pawned property, unless,
in the event of default in respect of obligations secured by a
pawn, the pawned property is sold —
(i) pursuant to an order of the Court; or
(ii) in the case of a pledge of shares or other securities
issued by a company incorporated under the
International Business Companies Act, in accordance
with the provisions of Sub-Part VII of Part V of the
International Business Companies Act (Pledges over
shares).
(b) Until such time that the obligations secured by the pawn are paid
and discharged in full or the pawned property is sold as envisaged
under in paragraph (a), the pawn will constitute security interests
over the pawned property in favour of the pledgee.
(4) That the second and third sentence of Article 2091-1 of the Civil Code of
Seychelles shall not apply to companies.
(5) That Article 2091-3 of the Civil Code of Seychelles shall not apply to
companies, and the following shall apply in substitution therefor —
(a) Subject to paragraph (b), in the event of crystallization a floating
charge, on application by the chargee or other interested person
the Court may order that the charged property be sold as may be
authorised by the Court, or that a receiver be appointed or may
make such other or further order as the Court deems fit.
(b) If so permitted under the terms of a written floating charge
agreement, in the event of crystallization a floating charge may
be enforced, without an order of the Court if so permitted by the
terms of the charge, in accordance with the provisions of Part IX
of the International Business Companies Act (Charges over
company property).
