Most of your questions are people who have applied for debt relief, my question is the other side of the coin.
I had a contractor who carried out some work on my property, I found out after the fact that he was applying for an IVA while doing this work as a self employed gardener. He built a fence which collapsed on a person, he refused to take responsibility for the shoddy work. i made a money claim on-line 11th June 2020, his IVA was approved 30th July 2020 and the CCJ was issued in my favour October 2020. I was not on the creditors list is the CCJ still enforceable.
From what I can see it depends on whether you were identified as a creditor whilst the IVA was being agreed.
If you were not on the creditor list then it is likely that the CCJ will still apply BUT progressing with it could cause the IVA to fail.
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
I don't believe it's enforceable. As the debt was accrued pre-aproval it's bound by the arrangement as per section 260 of the insolvency act 1986, section 2 which deals with creditors who did not receive notice of the arrangement.
Effect of approval.
(1)This section has effect where [F1pursuant to section 257 the debtor's creditors decide to approve] the proposed voluntary arrangement (with or without modifications).
(2)The approved arrangement—
(a)takes effect as if made by the debtor [F2at the time the creditors decided to approve the proposal], and
[F3(b)binds every person who in accordance with the rules—
(i)was entitled to vote [F4in the creditors' decision procedure by which the decision to approve the proposal was made], or
(ii)would have been so entitled if he had had notice of it,as if he were a party to the arrangement.
Admittedly you should have been made aware of the IVA from the outset, but you're still bound by it.
In my experience in this scenario most creditors apply to have the judgement set aside and claim on the IVA but I would suggest seeking your own legal advice in this respect.
Were you aware he was proposing an IVA when you made your money claim?
Hi! I used to work for one of the UK's biggest Insolvency Practitioners - I don't work for an IP anymore but still have an extensive knowledge of the IVA industry. How can I help?
No I was not aware of the IVA, nor was i contacted regarding the IVA until after the judgement had been awarded and I sent the bailiff around. Then the supervisor sent a claim form and asked me to submit it. I believe that I can proceed with the judgement see below;
s.58.33 part of
{If a petition was presented by a creditor who was not bound by the IVA, e.g. one whose debt arose after the approval of the IVA,) from this and other passages it seems if the debt arose after the approval then you can proceed.
In law the debt was not formed until judgement was passed and that was 3 months after the IVA was approved.
Just would like someone to uncloud the muddy waters so I know the best way to approach this matter.
Normally I would not bother, but for his smug attitude towards the garden fence collapsing and injuring a person, the shoddy work was confirmed by a surveyor.
