Hong Kong Ordinances

LAND TITLES ORDINANCE - SECT 42

Floating charge

not yet in operation

(1) Subject to subsection (3), an instrument providing for a floating charge,
whether or not it specifically identifies any registered  land or
registered long term lease charged, shall not be registrable as a charge.

(2) An instrument providing for a floating charge becomes—

   (a)  an instrument providing for a fixed charge on the registered  land or
        the registered long term lease intended to be affected; and

   (b)  registrable as a charge on that land or lease, upon crystallization of
        that charge as evidenced by a certificate signed by or on behalf of
        the chargee.

(3) An instrument providing for a fixed charge and a floating charge shall be
registrable as a charge on the registered land or the
registered long term lease which is subject to the fixed charge.