We have been renting a room in our community building to a singing teacher. She has been very lax in paying her rent and although in the past we have tried to work with her over this we have now given her an ultimatum to settle her debt by a certain date. She has indicated that she might take her business elsewhere. She has her own piano in our building. If she does decide to leave can we keep hold of the piano until she pays her debt?

Dear Charlie,

Thank you for the previous answer re: debt recovery. A charitable company has a mortgage taken out by one of the directors / trustee for £38k with:- 'Fixed & floating charge over the undertaking and all the land & whatever rights that exist over the land now and in the future and all property and all assets present and future including goodwill, book debts.'

Some other highlights:- The charitable company went into administration and was run under licence by a Co. Limited by shares, & all income & expenditure incurred by this CLS was transferred back to the charity and incorporated into the accounts; this agreement ceased when creditors agreed a percentage of their debts in a single payment. Accounts have been passed 'true & fair'.

Can you shed any light on the above - is the mortgage charge normal? Is the arangement with the CLS while in adminisdtration usual? Any help appreciated.