Commercial lending (as opposed to deposit taking) is generally not a regulated activity in the Isle of Man, except where the lending is to an individual, when this may attract the requirement for registration under the Moneylenders Act 1991.
On the other hand, many lenders in the Isle of Man are regulated for other reasons (e.g. by virtue of taking deposits, conducting insurance or intermediary business).
Secured lending is well established in the Isle of Man with security being taken in the form of a mortgage, charge or security assignment. Floating charges are common. Depending on the type of borrower and/or type of asset the subject of the security, filings may be necessary to ensure validity in insolvency and/or priority e.g. charge registrations under the Companies Acts 1931-2004 and the Companies Act 2006 and in terms of assets: land, ship and aircraft title registries.
Enforcement is still largely by way of self-help remedy through the appointment of a receiver or the exercise of contractual powers of sale. There are no statutory powers of sale (save through a coroner as explained below).
Formal insolvency procedures such as schemes of arrangement and/or provisional liquidation may also be used for restructuring as alternatives to administration proceedings, which in themselves do not form part of Isle of Man insolvency law.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.