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Topic starter
19/05/2010 8:27 pm
Firstly this is not actually concerning me personally so my IP can relax..lol But is a current issue am dealing with in relation to my job, so really looking at the experts for what their take is it, as the am getting really mixed advice from legal team in my place.......
Ok.... I work as a Housing Officer and in the area I cover we are currently carrying out a clearance which really means we are moving tenants out of their current homes into new tenancies and we will eventually demolish their old properties.
As part of this tenants are entitled to two separate payments Homeloss and the Disturbance payments...
Homeloss a payment of ?ú1500.00 to compensate them for losing their tenancy, but as a landlord we can deduct any monies due to us from the tenant from this amount, ie Rent Arrears, Legal Expenses, Charge Tenant Repairs etc........
Disturbance this is a payment of ?ú1250.oo to help pay for costs of their removal etc, we cannot deduct any monies from this unless the tenant actually signs it over to us.
My questions are regarding a tenant of mine who was sequestrated this year.....
1. The tenant owed over ?ú1500.00 rent arrears before sequestration, and we are one of his creditors, are we allowed to deduct the full ?ú1500.00 homeloss payment to help reduce his sequestrated arrears or must we give the cheque to the trustee (AIB) to divide between all the creditors......?
2. Can we actually give the tenant the Disturbance Payment of ?ú1250.00 or should we send it directly to the Trustee to decide what to do with it...
If anyone can shed any light on this it would be appreciated......
Thanks.......
20/05/2010 9:28 am
Hello Porcupine,
Some very interesting questions which I'm going to neatly sidestep and leave for our experts!!
Hopefully they'll provide some insight for you soon.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
20/05/2010 10:03 am
Hello Porcupine
That's a difficult one, especially as it is not a situation I have come across before. My guess is that the trustee in the sequestration has a right to these funds before anyone else, though may sanction the release of some of the money to your tenant for essential removal costs.
However, this is by no means a definitive answer for you - perhaps another expert may think differently?...
Scottish Debt Solutions Expert - Ask me for help setting up a Scottish Trust Deed or Debt Arrangement Scheme plan.
20/05/2010 10:40 am
Hi Porcupine
I suspect there is no definitive answer however as a ( personal) guide I have always followed the rule that payments as a windfall would be an asset to the Trustee, however payments designed for a specific purpose, I'll check this, but (not solatium) payments, ie payments designed to assist for future life situations like the Court Awarding payment for someone disabled in a crash for a carer would not.
Not sure if this helps or clouds the subject even more! I
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.
Topic starter
20/05/2010 8:06 pm
I got a response today from the AIB..........
We can keep the ?ú1500.00 Homeloss Payment to reduce his sequestrated Rent Arrears. As for the Disturbance Payment the tenant is entitled to keep this as the Trustee see's this a Relocation Costs as the Tenant needs to pay the costs of moving home..... Tenant was well chuffed but I wonder what the other creditors would say if the knew we were getting more or less all the monies owed to us whilst they get nought.....
Anyway thanks for yer input..........
21/05/2010 9:37 am
Hello Porcupine,
The AIB are a great source of knowledge. They have just provided us with an answer on another question about which we could not get definate clarification from any other source.
Congratulations to you for winning the Trust-Deed.co.uk "Hardest Question of the Month" award!!
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
Topic starter
21/05/2010 9:47 am
So what's my prize..........?
[:D]
21/05/2010 10:08 am
Errm... I'm not sure that I've thought this through properly!
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds
Topic starter
21/05/2010 12:20 pm
I demand a Prize.......
Am gonna scweam and scweam to I get my prize............
21/05/2010 1:00 pm
you can have my trust deed if you want, completely free until the next payment.
