Arrestment Flashcards
What acts govern arrestment?
Debtors (Scotland) Act 1987
Diligence against Earnings (Variation)(Scotland) Regulations 2009
Coronavirus (Recovery and Reform)(Scotland) Act 2022
The Diligence(Scotland) Regulations 2009
Bankruptcy and Diligence etc (Scotland) Act 2007
What is an arrestment?
An arrestment seizes funds or moveable property held by a third party and prevents them from releasing said funds/property to the debtor.
When is arrestment in execution available in regards to summary warrant?
If the debtor had been charged to pay the debt in the summary warrant and the days specified in the charge have expired without payment being made.
What funds are attached with an arrestment
The sum due by the arrestee to the debtor, or
The principle sum
Any judicial charges against the debtor
Arrestment expenses
Any interest on principle sum from date of service
1 year interest on principle sum
Interest on expenses of executing arrestment
When does the protected minimum balance apply?
Creditor arrests in pursuance of a warrant granted for diligence on the dependence or a decree or document of debt
Debtor must be an individual
Only attaches sums in excess of protected minimum balance
When does the protected minimum balance not apply?
When the account is held in the name of a company, limited liability partnership, partnership ( only applicable with an individual)
What is the protected minimum balance and which act is it governed by?
£1,000 and Coronavirus(Recovery and Reform)(Scotland) Act 2022
What must the arrestee do after executing an arrestment?
Notify the creditor within 3 weeks
When must the arrestee release a sum to the creditor
14 weeks beginning with the date of service of a final decree or the date of service of the schedule of arrestment.
When can funds be released earlier than 14 weeks
If the debtor signs a mandate
Where is the schedule of arrestment located?
The Diligence(Scotland) Regulations 2009
When does an arrestment prescribe?
When on the dependence, after 3 years from when final interlocutor for all of part of the principle sum
Or
When in execution of an extract decree, 3 years after arrestment is executed.
