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Official guidance
Debt Management and Banking Manual

DMBM682510 · Ordinary cause: Effect of insolvency on ordinary cause actions

  • DMBM682520 · Enforcement action: ordinary cause: effect of insolvency on ordinary cause actions: insolvency on diligence
  • DMBM682530 · Ordinary cause: Company Administration Orders
  • DMBM682540 · Ordinary cause: Claims for costs in sequestration cases
  • DMBM682550 · Ordinary cause: Claims for costs in sequestration cases where decree granted but arrestment has yet to be executed
  • DMBM682560 · Ordinary cause: Claims for costs in sequestration cases where an arrestment has been executed
  • DMBM682570 · Ordinary cause: Claims for costs in sequestration cases
  • DMBM682580 · Ordinary cause: Claims for costs in insolvency cases
  • DMBM682590 · Ordinary cause: Claims for costs in receiverships
  1. Ordinary cause: Effect of insolvency on ordinary cause actions: Contents
  2. Ordinary cause: Claims for costs in sequestration cases where an arrestment has been executed

DMBM682560 | Ordinary cause: Claims for costs in sequestration cases where an arrestment has been executed

From HM Revenue & Customs · Debt Management and Banking Manual

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Where the sheriff officer has laid either an ordinary arrestment or an earnings arrestment you will have a claim for the costs of your diligence.

However, because any diligence executed within the period of 60 days before the date of sequestration is ineffectual, you must after deducting the expenses of your diligence, hand over the net proceeds of any action of furthcoming to the Permanent Trustee.

The exception to this being that even although you have executed your diligence within the “60 days before sequestration” period you are not required to pay over to the Permanent Trustee any of the monies received as a result of a mandate signed by the defender following an arrestment (see DMBM676650).

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