Methods of enforcement Flashcards
What is the method of taking control of goods?
Enforcement officer can seize judgment debtor’s goods and sell them to satisfy judgment debts.
What are the advantages of TCG?
Quick and simple
Normal interim application is all that is required
What are the options for enforcing judgments?
- Taking Control of Goods
- 3P debt orders
- Charging orders on land and certain securities
- Attachment of Earnings Orders
- Insolvency proceedings
- Statutory demand
What goods are exempt from seizure?
Tools of the judgment debtor’s trade up to £1,350 and basic domestic items like clothing, bedding, and furniture.
If the debt sum is up to £600, in which court would you apply for TCG?
County Court (CC) only.
If the debt sum is between £600 and £5,000, in which court would you apply for TCG?
High Court (HC) or County Court (CC).
If the debt sum is over £5,000 in which court would you apply for TCG?
High Court (HC) only.
How does one apply for taking control of goods in High Court?
By filing a Writ of Control.
How does one apply for taking control of goods in County Court?
By filing a Warrant of Control.
What does the writ or warrant of control contain?
- addressed to enforcement order
- necessary details
- amount of outstanding debt to be recovered
- fixed amount of the costs of TCG which includes court fee
What is the notice requirement for enforcement?
At least 7 days clear notice must be given to the judgment debtor.
What is the process for TCG?
- Writ or warrant delivered
- Notice to the judgment debtor given
- Enter premises and secure goods
- Sale of goods
What is the time frame for taking control of goods after notice?
The enforcement officer has 12 months from the date of giving notice.
What are the restrictions on entering premises to secure goods?
Enforcement officers cannot take control of goods before 6am or after 9pm.
They can use reasonable force to enter the premises.
What is a Controlled Goods Agreement?
An agreement allowing the debtor to retain custody of goods while the enforcement officer takes control pending payment of debt.
What happens to the goods if the judgment debtor does not pay the debt?
The goods must be sold by the enforcement officer at the best price reasonably obtained. Any surplus is returned to the debtor.
What are Third Party Debt Orders?
Orders requiring a third party to pay the judgment creditor some or all of a debt owed to the judgment debtor.
What is the procedure for Third Party Debt Orders?
The third party must search for and disclose information to the court and judgment creditor.
What should the 3P or judgement debtor do if they object to the making of a 3P debt order?
They must file and serve written evdience stating the grounds for the application
What form does the creditor use for a 3P debt order?
Application Form N349.
What is the procedure for obtaining a 3P debt order?
- Interim order made without notice to the judgment debtor. This is served on the 3P and prevents them making payments to the debtor until further order.
- Interim order then served on the judgment debtor and will be followed by an on notice hearing.
- Court decides whether to make a final order requesting the 3P to pay the debt
What is a Charging Order?
A form of charge taken on land which secures a debt. It remains in place until the land is sold and the debt paid with the proceedings
Therefore longer time until actual recovery
What is the procedure for Charging Orders?
- Interim Order granted without hearing
- C must serve charging order within 21 days
- D has 14 days to respond and request an in person hearing (serve evidence and a statement explaining the objection within 28 days of the interim order)
- If C secures the final order they made need another order to force the sale.
When is a charging order not suitable?
When there are no other charges attached to it.
