扒哥吃瓜

In order to decide what amount of relief is available to a claimant under TCGA92/S253 (4) you will need, therefore, to consider the ability of the co-guarantors, if any, to meet their shares of any payment to the lender under the guarantee. The position of the co- guarantors is to be considered at the date on which the claimant makes payment of any amount over and above his or her strict pro-rata share under the guarantee on which relief is being claimed. In accordance with the Leisureking judgement, the criteria to be adopted in relation to recoverability of contributions from co-guarantors are the same as in relation to recoverability of loans from the borrower by the lender, see CG65950 - CG65957.

Example

A Ltd, B Ltd, C Ltd and D Ltd have jointly and severally guaranteed a bank loan to E Ltd of 拢100,000.

E Ltd goes into liquidation and it is accepted that the loan has become irrecoverable from E Ltd.

On 1 October 1993 A Ltd pays 拢100,000 to the bank under the terms of the guarantee.

As at 1 October 1993: B Ltd is in a position to meet fully its liability under the guarantee

C Ltd's position is such that only 拢10,000 is recoverable from it

D Ltd is insolvent and about to go into liquidation with no prospect of meeting any liability under the guarantee.

The relief due to A would be:

-	-	拢	拢
-	Total paid	-	100,000
Less	agreed payable by C Ltd	10,000	-
-	D Ltd	Nil	10,000
-	Amount to be divided between co-guarantors able to meet their contributions in full	-	90,000
Less	payable by B Ltd	-	45,000
-	Relief due to A Ltd as at 1 October 1993	-	45,000