Part VII Default and Termination

Termination of agreements

104 Goods not to be treated as subject to landlord’s hypothec in Scotland.

Goods comprised in a hire-purchase agreement or goods comprised in a conditional sale agreement which have not become vested in the debtor shall not be treated in Scotland as subject to the landlord’s hypothec—

(a)

during the period between the service of a default notice in respect of the goods and the date on which the notice expires or is earlier complied with; or

(b)

if the agreement is enforceable on an order of the court only, during the period between the commencement and termination of an action by the creditor to enforce the agreement.