The Debt Arrangement Scheme (Scotland) Amendment (No. 2) Regulations 2007
| Jurisdiction | Scotland |
| Citation | SSI 2007/187 |
| Year | 2007 |
2007 No. 187
DEBTDILIGENCE
The Debt Arrangement Scheme (Scotland) Amendment (No. 2) Regulations 2007
Made 7th March 2007
Laid before the Scottish Parliament 8th March 2007
Coming into force 30th June 2007
The Scottish Ministers, in exercise of the powers conferred by sections 2(3), 4(5), 5(4), 6(1), 7 and 62(2) of the Debt Arrangement and Attachment (Scotland) Act 20021and of all other powers enabling them in that behalf, hereby make the following Regulations:
Citation and commencement
1. These Regulations may be cited as the Debt Arrangement Scheme (Scotland) Amendment (No .2) Regulations 2007, and come into force on 30th June 2007.
Interpretation
2. In these Regulations “the 2004 Regulations” means the Debt Arrangement Scheme (Scotland) Regulations 20042.
Amendments to the 2004 Regulations
3.—(1) The 2004 Regulations are amended in accordance with paragraphs (2) to (33).
(2) In regulation 2 (interpretation: general)–
(a)
(a) for the definition of “protected trust deed” substitute–
““protected trust deed” has the meaning given by section 73(1) of the 1985 Act;”; and
(b)
(b) for the definitions of “sheriff” and “sheriff principal” substitute–
““sheriff” means the sheriff of the sheriff court district in which a debtor habitually resides;”.
(3) In regulation 8 (approval of a money adviser), in paragraph (4), for the word “2” substitute “3”.
(4) In regulation 10(2) (persons who are not to be money advisers)–
(a)
(a) in sub paragraph (e), for “sections 543(automatic discharge after 3 years)” substitute “section 54 (automatic discharge after a year)”;
(b)
(b) in sub paragraph (g), at the end add “or under section 56A or as the case may be 56F or 56G of the 1985 Act4”; and
(c)
(c) in sub paragraph (h), for “entered into” substitute “granted”.
(5) In regulation 11 (functions and duties of a money adviser)–
(a)
(a) in paragraph (1)–
(i) in sub paragraph (e), for the word “sixth” substitute “twelfth”; and
(ii) omit sub paragraph (g); and
(b)
(b) omit paragraph (2).
(6) In regulation 18 (information on the DAS Register)–
(a)
(a) in paragraph (2)–
(i) before sub paragraph (a) insert–
“(za)
“(za) an intimation under regulation 22(2A);”;
(ii) for sub paragraphs (b) and (c) substitute–
“(ba)
“(ba) an intimation under regulation 20(3);
(bb)
(bb) a notice under regulation 31(1);”;
(iii) omit sub paragraph (f); and
(iv) in sub paragraph (h), omit “or sheriff principal”; and
(b)
(b) in paragraph (3), after “each debtor” insert “who has given intimation under regulation 22(2A),”.
(7) Omit regulation 19.
(8) In regulation 20 (application for approval of debt payment programme)–
(a)
(a) in paragraph (2)(c), for “section 7(4)” substitute “section 2(4)”; and
(b)
(b) at the end add–
“3 The debtor may, at any time before the application is approved or rejected, intimate to the DAS administrator that the application is withdrawn.”.
(9) In regulation 21(2) (debtors who may apply for approval of debt payment programmes)–
(a)
(a) in sub paragraph (c), for “sections 54 (automatic discharge after 3 years)” substitute “section 54 (automatic discharge after a year)”; and
(b)
(b) in sub paragraph (e), at the end add “or under section 56A or as the case may be 56F or 56G of the 1985 Act”.
(10) In regulation 22 (consent of every creditor)–
(a)
(a) in paragraph (1), after “paragraph (3)” insert “and to regulation 26”;
(b)
(b) after paragraph (2) insert–
“2A A debtor who intends to send a request under paragraph (2) may give written intimation of that intention to the DAS administrator; but a debtor is not to give intimation under this paragraph on more than one occasion in any period of 12 months.”;
(c)
(c) omit paragraph (4); and
(d)
(d) in paragraph (5)–
(i) for “regulations 25, 26 or 27” substitute “regulation 25 or 26”; and
(ii) omit “or dispensed with”.
(11) Omit regulation 23.
(12) In regulation 24 (composition and waiver of interest)–
(a)
(a) in paragraph (1), omit sub paragraph (b); and
(b)
(b) in paragraph (2)(a), omit “or waiver”.
(13) The heading to regulation 24 becomes “Composition”.
(14) In regulation 26 (approval by the DAS administrator)–
(a)
(a) in paragraph (1), for “Subject to regulations 25 and 27” substitute “Where approval cannot be given under regulation 25”; and
(b)
(b) in paragraph (2)–
(i) after sub paragraph (b) insert–
“(ba)
“(ba) the amount (if any) by which it appears to the DAS administrator, on the basis of such information as the creditors and the debtor have provided, that the value of any land owned by the debtor exceeds so much of the total amount of debt as is secured by way of a standard security over any interest in that land;”; and
(ii) in sub paragraph (g), omit “or objected”.
(15) Omit regulation 27.
(16) In regulation 28(2) (approval of a debt payment programme), for “of the second day after the date of the entry under paragraph (1) in the DAS Register” substitute “on the day immediately preceding that on which the notice is so entered”.
(17) In regulation 29(1) (standard conditions), for “regulations 25, 26 or 27” substitute “regulation 25 or 26”.
(18) In regulation 30(1) (discretionary conditions), for “regulations 25, 26 or 27” substitute “regulation 25 or 26”.
(19) In regulation 31 (notification of approval or rejection of a debt payment programme)–
(a)
(a) in paragraph (1), for “of the application for approval” substitute “, on an application,”;
(b)
(b) in paragraph (2), for “an application for approval of a” substitute “the”;
(c)
(c) in paragraph (3)–
(i) for “an application for approval of a” substitute “the”; and
(ii) in sub paragraph (b), for “approval” substitute “programme”; and
(d)
(d) in paragraph (4), in each of sub paragraphs (a) and (b), for “an application” substitute “the programme”.
(20) After regulation 31 insert–
“Diligence in the period before a debt payment programme is approved
31A.—(1) It is not competent to serve a charge for payment in respect of, or to commence or execute any diligence to enforce payment of, any debt–
(a)
(a) during the period of 6 weeks immediately following an intimation by the debtor being entered in the DAS Register under sub paragraph (za) of regulation 18(2); or
(b)
(b) during the period immediately following an application by the debtor being entered in that Register under sub paragraph (a) of regulation 18(2) and ending on the earliest of the dates mentioned in paragraph (2).
(2) The dates are–
(a)
(a) that on which a notice that the debt payment programme is approved is entered in the DAS Register;
(b)
(b) that on which notice of rejection of the debt payment programme, sent under regulation 31(1), is so entered; and
(c)
(c) that on which intimation of withdrawal of the application in respect of the debt payment programme, given under regulation 20(3), is so entered.
(3) During any such period as is mentioned in sub paragraph (a) or (b) of paragraph (1), it is not competent in respect of the debt–
(a)
(a) to make, under section 97(2) of the Bankruptcy and Diligence etc. (Scotland) Act 20075, an order granting warrant for sale of attached land; or
(b)
(b) to make, under section 136(2) of that Act, a satisfaction order.
(4) If an arrestment such as is mentioned in subsection (1) of section 73J of the Debtors (Scotland) Act 19876(automatic release of arrested funds) has been granted in respect of funds due to the debtor, it is not competent, during any such period as is so mentioned, to release funds under subsection (2) of that section; but the period in question is to be disregarded for the purposes of determining whether the period mentioned in subsection (3) of that section has expired.”.
(21) In regulation 35(1) (effect on a creditor), omit sub paragraphs (a) and (aa)7.
(22) In regulation 36 (effect on a debtor), for “enter into” substitute “grant”.
(23) After regulation 36 insert–
“Diligence: further provision as regards effect of debt payment programme
36A.—(1) Where a debt payment programme is approved, it is not competent in respect of any debt–
(a)
(a) to make, under section 97(2) of the Bankruptcy and Diligence etc. (Scotland) Act 2007, an order granting warrant for sale of attached land; or
(b)
(b) to make, under section 136(2) of that Act, a satisfaction order.
(2) If an arrestment such as is mentioned in subsection (1) of section 73J of the Debtors (Scotland) Act 1987 (automatic release of arrested funds) has been granted in respect of funds due to the debtor, it is not competent, where a debt payment programme is approved, to release funds under subsection (2) of that section; but if the debt payment programme is revoked the period between its being approved and being revoked is to be disregarded for the purposes of determining whether the period mentioned in subsection (3) of that section has expired.”.
(24) In regulation 37(5) (application for variation), for sub paragraph (b) substitute–
“(b)
“(b) on behalf of the debtor may be made by electronic means, but if so the money adviser shall retain the form 8, signed by the money adviser in accordance with section 3(2) of the Act, for a period of 5 years or for the period of the programme (whichever is longer).”.
(25) In regulation 38(1)(d) (grounds for variation), after...
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