The Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025

Modification of Part 2 of the Act

22.—(1) Part 2 of the Act is amended as follows.

(2) In section 42 (pledge), after subsection (5) insert—

“(6) See also Part 3 of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(3) In section 46 (competence of individual acting as provider of a statutory pledge), after subsection (1) insert—

“(1A) But see also article 6 (competence of individual acting as provider of statutory pledge over financial instrument) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(4) In section 47 (competence of creating statutory pledge over certain kinds of property), after subsection (2) insert—

“(2A) But see also article 5 (competence of creating statutory pledge over financial instrument) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(5) In section 51 (property encumbered by statutory pledge: transfer by provider), after subsection (1) insert—

“(1A) See also article 8 (acquisition of financial instrument encumbered by statutory pledge in the ordinary course of trading) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(6) In section 52 (extinction of statutory pledge where dealings inconsistent with a fixed security), after “extinguished” insert “(but see also article 11(3) (restriction, discharge or extinction of unregistered statutory pledge over financial instrument) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1))).”.

(7) In section 57 (assignation of statutory pledge), after subsection (3) insert—

“(4) See also article 9 (assignation of unregistered statutory pledge over financial instrument) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(8) In section 58 (amendment of statutory pledge), after subsection (2) insert—

“(2A) See also article 10 (amendment of unregistered statutory pledge over financial instrument) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(9) In section 59 (restriction or discharge of statutory pledge), after “creditor” insert “(but see also article 11 (restriction, discharge or extinction of unregistered statutory pledge over financial instrument) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1))).”.

(10) In section 60 (ranking), after subsection (2) insert—

“(2A) But see also article 13 (ranking of statutory pledges over financial instruments) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(11) In section 66 (whether court order required for enforcement), after subsection (1) insert—

“(1A) But see also article 14 (whether court order required for enforcement) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(12) In section 68 (secured creditor’s right to sell), after subsection (3) insert—

“(3A) But see also article 16 (secured creditor’s right to sell financial instrument) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(13) In section 72 (secured creditor’s right to protect and manage the property), after subsection (2) insert—

“(2A) See also article 17 (secured creditor’s right to protect and manage financial instrument) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(14) In section 73 (secured creditor’s right to appropriate), after subsection (2) insert—

“(3) See also article 18 (secured creditor’s right to appropriate financial instrument) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.

(15) In section 74 (appropriation with prior agreement), after subsection (8) insert—

“(8A) See also article 19 (appropriation of financial instrument with prior agreement) of the Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275 (S. 1)).”.