Personal Insolvency Act 2012

83.

Application to appropriate court to have Debt Settlement Arrangement terminated.

83.— (1) Without prejudice to section 87, a creditor or a personal insolvency practitioner may, as respects a Debt Settlement Arrangement, at any time during which the arrangement concerned is in effect, apply to the appropriate court to have that Debt Settlement Arrangement terminated, and such application shall be limited to the following grounds:

(a) a material inaccuracy or omission exists in the debtor’s Prescribed Financial Statement, which causes a material detriment to the creditor;

(b) the debtor, when the Debt Settlement Arrangement was proposed, did not satisfy the eligibility criteria specified in section 57;

(c) the debtor did not comply with the duties and obligations imposed on him or her under the Debt Settlement Arrangement process;

(d) the debtor has since the coming into effect of the Debt Settlement Arrangement committed an offence under this Act;

(e) the debtor is in arrears with his or her payments for a period of not less than 3 months;

(f) the debtor has failed to carry out any action necessary to enable a term of the Debt Settlement Arrangement to have effect;

(g) the debtor has unreasonably refused to consent to a variation of the Debt Settlement Arrangement.

(2) For the purposes of subsection (1)(e), a debtor is in arrears with his or her payments for a period of not less than 3 months where—

(a) at the beginning of the 3 month period ending immediately before the day on which the application was made, one or more than one payment in respect of the debts became due and payable by the debtor under the Debt Settlement Arrangement, and

(b) at no time during that 3 month period were any obligations in respect of those payments discharged.

(3) On hearing an application under subsection (1), the appropriate court may—

(a) dismiss the application,

(b) terminate the Debt Settlement Arrangement, or

(c) order the personal insolvency practitioner to propose the variation of the Arrangement in accordance with section 82.

F83[(4) Where the appropriate court makes a decision under subsection (3)

(a) the Registrar of the appropriate court shall notify the Insolvency Service of the decision, and

(b) the Insolvency Service, on receipt of the notification under paragraph (a), shall notify the personal insolvency practitioner and the specified creditors concerned of the decision.

(5) Where the appropriate court decides, under subsection (3), to terminate a Debt Settlement Arrangement, the Insolvency Service shall, on receipt of the notification under subsection (4) of that termination, record the fact of the termination of the Debt Settlement Arrangement in the Register of Debt Settlement Arrangements.]

Annotations

Amendments:

F83

Inserted (31.07.2013) by Courts and Civil Law (Miscellaneous Provisions) Act 2013 (32/2013), s. 76, S.I. No. 286 of 2013.