Companies Act 2014 section 607

Duties of sheriff as to goods taken in execution

Section 607 sets out the duties of the sheriff when a company's goods have been seized to satisfy a debt but the company then enters liquidation, and explains how execution proceeds must be handled in those circumstances.

• Where a company's goods are seized but not yet sold, and the sheriff is notified that a provisional liquidator has been appointed, a winding-up order made, or a voluntary winding-up resolution passed, the sheriff must hand over the goods and any money collected to the liquidator on request.
• The costs of the execution are a first charge on the goods or money delivered to the liquidator, who may sell goods if necessary to cover those costs.
• Where goods have already been sold (or money paid to avoid a sale) under a judgment exceeding €1,000, the sheriff must deduct execution costs, then hold the balance for 14 days — if notice of a winding-up petition or meeting is served within that period and winding up subsequently proceeds, the balance passes to the liquidator.
• The court retains discretion to override the liquidator's rights under this section in favour of the execution creditor, on such terms as it considers appropriate.