Hi Jay23todd

Bear with me - your question is quite technical.

Section 167 of the BSA 2016 stipulates that for the Trust Deed to achieve Protected Status all assets are conveyed to the Trustee. This section also brings into question the 4 year acquireda rule. For example, if you acquire any windfall assets such as compensation then that forms part of your estate and should be paid to creditors in the trust deed.

Generally speaking, where an individual's estate includes the right to sue for patrimonial loss (loss of earnings), it is open to the trustee to initiate the necessary action or to place (sist) himself into the process if an action has been or can be initiated by the debtor.

The AiB view however as always been that a trustee should not involve himself in speculative proceedings as he/she may become liable.

In practice, it would be best for you to speak with your trustee to come up with a deal whereby a percentage split would be paid to you and the remaining % being paid into your trust deed.

Hope this helps.

P

Welcome to the forum Jay23todd.

To add to Paul's comments in straightforward terms, this situation isn't entirely black and white.

Talk to your trustee so that this is all out in the open and also so that you can know where you stand.

Hi Jay23todd and welcome to the forum.

When you entered the Trust Deed was the legal case already underway and if so did you discuss this with your Trustee?

Have you been given any indication of the possible compensation amount you could receive?

As Paul has advised it is something that can be considered under a Trust Deed and it’s something that you will need to reach out to your Trustee to discuss in a bit more detail.

I’ve learned on the forum that sometimes if you call the Trustee you might not get a straight forward answer to something a little technical and therefore I’d suggest writing/emailing your Trustee about it all that way you have everything in writing.

Please let us know how you get on.