Insights

McGowan v Potter [2026] EWHC 595 (Ch)

A decision of the High Court that was handed down on 16 March 2026 has resolved an uncertainty regarding the extent of the County Court’s jurisdiction to make orders for sale in enforcement of charging orders. The judgment determines that such orders may be made where the amount owing does not exceed the limit of the ‘equity’ jurisdiction under s.23 of the County Courts Act 1984, currently £350,000 (increased from £30,000 in 2014).

Orders for sale where the judgment debtor is the sole legal and beneficial owner of the property typically utilise the power provided by s.90 of the Law of Property Act 1925 and expressly refer to it. However, although s.90(3) indicates that the County Court has jurisdiction under that section where the amount owing “does not exceed £30,000”, this lower figure does not operate as a restrictive limit.

In cases where the amount owing is between £30,000 and £350,000, this decision means that it is not necessary to issue the claim for an order for sale in the High Court and have it transferred, out of concern that the County Court’s own jurisdiction is open to doubt. The same reasoning will apply to other equitable charges over the legal title to property, not just charging orders, and will be relevant where the equitable charge is not made by deed.

The judgment also holds that, had the order for sale been made in excess of jurisdiction, it would have been liable to be set aside but would not have been a complete nullity from the outset.

Jonathan Edwards, instructed by Streeter Marshall LLP, acted for the successful claimant.

Read the full judgment here.