"The 'immovables rule' dictates that foreign laws and court decisions generally have no direct effect on the ownership of assets tied to UK land. While originally designed to protect national sovereignty, its application in the 21st century creates a unique paradox for the London market."
"Under current common law, even if a foreign court orders the seizure of a bankrupt debtor's assets, that order is frequently unenforceable against their UK-based real estate. British courts have acknowledged that this leads to instances where a debtor may be stripped of their assets globally, yet remains the legal owner of high-value London property."
London's reputation as a premier real estate investment destination rests on its stable legal system, but the Immovables Rule—a feudal doctrine dating to 1066—creates unintended vulnerabilities. This rule dictates that foreign laws and court decisions cannot directly affect ownership of assets tied to UK land, protecting national sovereignty but enabling modern loopholes. The Cross-Border Investigative Alliance identifies this as a jurisdictional shield complicating international asset recovery. Even when foreign courts order asset seizure from bankrupt debtors, UK real estate remains legally protected and unenforceable against. British courts acknowledge this paradox allows debtors to lose global assets while retaining high-value London property, frustrating international creditors and legitimate business interests.
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]