IVA protection?

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mathew
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by mathew » Sat Nov 10, 2018 8:45 am
My wife is mid process with her IVA application following the loss of our business due to ex landlord taking posession of his premises. The ex landlord is a bully (has been reported) has threatened to take my wife to court over alleged utility bills which we know will be fabricated as we paid them directly. Regardless of his potential threats my question is, once my wife has entered into an IVA can a court summons be issued against her or is she protected under her IVA status? Thank you in advance for any response of help. To add, we have lost everything financially and cannot afford to see or appoint a solicitor. 5 children to feed, 8 month twin girls, extremely difficult time. Thank you
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Foggy
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by Foggy » Sat Nov 10, 2018 10:09 am
As long as the debt is listed in the IVA proposal and the IVA then accepted by the majority of creditors, then he will be bound by it and will not be able to, legally, pursue you. I would advise the IP of the nature of this particular creditor, so that they might make sure all the i's have been dotted and the t's crossed !
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mathew
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by mathew » Sun Nov 11, 2018 7:38 am
Thank you Foggy for your reply, much appreciated. I think I have understood you correctly but if I can clarify..... So let’s say my wife is awarded an Iva after disclosing honestly all her debts. If a bill / summons rears it’s head in the near future which is not listed on the Iva because my wife is not aware or a false claim is bought against her then would this be handled by the insolvency Practitioner? Thank you once again
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Foggy
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by Foggy » Sun Nov 11, 2018 9:16 am
She should take great care to include all unsecured debt --- being "not aware" could bring an agreed IVA to its knees, depending on the circumstances and amounts involved. It could give an unwilling creditor ammunition to challenge the arrangement.

A "false claim" would have to be substantiated by the IP before being admitted.

If you have suspicions that these things might develop I would suggest having a chat with several small / medium firms where the IP gets actively involved, rather than the "IVA Factories" where anything out of the "norm" tends to result in headless chickens on the loose!
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mathew
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by mathew » Sun Nov 11, 2018 10:55 am
Foggy thank you very much for your help in this matter, some very good points you have raised and my wife and I will ensure and IP is on board with the full picture.

Best regards

Mat
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MerlinL14
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by MerlinL14 » Sun Nov 11, 2018 6:11 pm
If the IP is told of any 'potential' claims that may arise due to her circumstances and the bully landlord, then fore warned is fore armed. Making sure that that conversation is recorded and minutes raised then it could save a huge headache if the claim was made during the IVA term.
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mathew
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by mathew » Mon Nov 12, 2018 1:03 pm
Thank you for your comments of support Merlin. We will ensure there is a recording in place.
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Lisa Thomas
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by Lisa Thomas » Mon Nov 12, 2018 1:21 pm
Just make sure the landlord is listed as a creditor, even if it's for a contingent/unknown potential future debt put them in for £1.
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