Enforcement of Court Orders Flashcards
When and how is a judgment enforced in the UK?
(1) Judgment / debt is due (14 days have passed usually)
(2) Can recover no more than due
(3) Can enforce only against assets owned solely by the debtor.
(4) Can use one or more enforcement methods until debt fully paid
What are the 5 methods of enforcement?
- Writ / warrant of control
- 3rd party debt order
- Charging order
- Attachment of earnings order
- Insolvency proceedings
Method chosen will depend on legal aid, dissipation of assets and whether opponent has insurance.
What is the consequence of having an order made against you?
All County Court and High Court judgments from April 1990 are entered and remain for 6 years in Register of Judgments, Orders and Fines
* If judgment satisfied within 1 month, the debtor can apply for removal from the register
* Debtor gets certificate of satisfaction when debt satisfied.
What is an order to obtain information about a debtor?
An order requiring an individual debtor (Form N316) or officer of a company (Form N316A) to provide information about the debtor’s means.
- App can be made without notice
- Must contain penal notice explaining failure to comply is contempt of court (may result in prison, fine and seizure of assets).
- Order to attend court must be personally served not less than 14 days before hearing
- Judgment debotr must attend court and produce any documents referred to.
- If debtor fails to attend / refuses to comply, matter referred to judge + consequences of penalty follow.
When can enforcement take place in another jurisdiction?
When debtor has moved assets abroad AND
* reciprocal agreement in place
* If non, position covered by common law in country judgment enforced in
* If enforcing foreign judgment in E&W, issue proceedings for non-payment of debt and summary judgment
* If enforcing judgment of CC or HC in foreign country, apply for certified copy of judgment and make application without notice, supported by written evidence (SoC and evidence served on D)
What is a writ / warrant of control?
Enforcement officer seizes judgment debtor’s goods + sells them, proceeds used to repay debt and costs.
Notice:Give notice to debtor 7 clear days before taking control of goods, then can take them any time within 12 months after notice.
Entry and seizure:EO can use reasonable force to enter premises (not against people) + take control between 6am - 9pm + not if only vulnerable person / child present.
Agreement or Sale:Provide notice of what is taken or enter controlled goods agreement, including last chance to pay. Debtor keeps and uses goods until then. If still no payment, sell goods for best price reasonably obtained at public auction.
Which goods are exempt from TCG?
- Tools of the judgment debtor’s trade to aggregate value of £1350
- Basic domestic items (clothing, food, bedding, furniture and household items).
Where should you apply for a writ / warrant of control (“TCG”)?
Outstanding debt below £600 = County Court
£600-£5000 = either County Court or High Court
More than £5000 = use High Court
Request warrant of control (CC) or writ of control (HC).
What is a third party debt order?
Where the debtor themselves is owed money from a third party or holds money in a bank account which is intercepted and paid to the judgment creditor.
What is the procedure for a third party debt order?
Judgment creditor applies using Form N349.
* 3rd party must search for and disclose info to court and judgment creditor
* Any 3rd party or debtor who wishes to object must file and serve wrtitten evidence of grounds
* First interim order made without notice, only served on third party + prevents payment to debtor
* Final order them made after notice and hearing for debtor. Court will decide whether to make final order requiring 3rd party to pay debt or discharge interim order.
What is a charging order? What is the procedure?
A charge taken over land or other specified property to secure judgment debt.
- Does not produce any money but when property is sold by the debtor, the debt will be paid using the sale proceeds and the charge released.
- Subject to prior mortgages, charged and overriding interests of co-owners.
- Interim order without notice and final charging order.
- Can make subsequent application for order for sale.
What is attachment of earnings?
Debtor does not have substantial assets but has a job. Employer can deduct the debt from their salary.
- Only available in CC so judgment must be transferred there
- Debt must be £50 or more
What is the procedure for attachment of earnings?
- File application + serve application and reply on debtor
- Debtor completes and returns form to court
- Court can then make order (with / without attendance of debtor or creditor)
- Order served on debtor and employer.
Which insolvency proceedings can be used for enforcement?
Bankruptcy = where individual has judgment debt over £5000
Liquidation = where company has a judgment debt over £750.
Statutory demand = can serve on debtor prior to petition for insolvency being issued. If debt remains unpaid for 21 days after service, court can presume insolvency.
