The Privy Council ‘Brumark’ decision, or to give it its proper name Richard Dale Agnew and Kevin James Bearsley v The Commissioner of the Inland Revenue and Official Assignee for the estate in bankruptcy of Bruce William Birtwhistle and Mark Leslie Birtwhistle, delivered on 5 June 2001, sent shock waves through the banking and insolvency world.
Brumark was the first decision threatening the ability of clearing banks to take a fixed charge on book debts since the decision of Siebe Gorman and Co Ltd v Barclays Bank Ltd [1979]. Although the Brumark decision is not binding in the UK courts, it is thought likely to be upheld given the constitution of the Privy Council.
