Sequestration durin...
 
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Sequestration during trust deed

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(@bonzo)
New Member
Joined: 13 years ago
Posts: 3
Topic starter  

Can anyone offer an opinion on the following matter. I am in a protected trust deed. I am being sued by a local authority for non payment of rent in premises where I originally had a lease. The rent due prior to the trust deed is obviously part of the trust deed,the laese was terminated but I remained on site as an employee of another company, the complications arise due to the company i now work for remaining on the site without a lease. The rent due after the trust deed is, in the local authorities eyss my debt, and they are seeking decree for voilent profits during my alleged unlawful occupation. If successful I will not be in a position to pay and could not even if I did have the money. Will they simply sequestrate me and how does this affect my and my wifes interest in our home which has been protected within the trust deed.


   
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TDA (Debt Adviser)
(@tda-debt-adviser)
Illustrious Member
Joined: 16 years ago
Posts: 13594
 

Hi bonzo and welcome to the forum.

In terms of the money that the local authority is seeking for violent profits after the trust deed was signed, how are you connected with the company that was occupying the premises?

You mention you were an employee but do the local authority believe that there was a further link to you?

I guess what I'm really asking is why do you think that the local authority is trying to recover the money from you personally?

Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds


   
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Kevin Mapstone
(@kevin-mapstone)
Member Admin
Joined: 16 years ago
Posts: 4253
 

Are you planning on defendng this action, bonzo?

Scottish Debt Solutions Expert - Ask me for help setting up a Scottish Trust Deed or Debt Arrangement Scheme plan.


   
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Mark McFadyen
(@mark-mcfadyen)
Famed Member
Joined: 16 years ago
Posts: 4798
 

Hi bonzo

If they pursue this, then it's a civil matter and they would follow the normal process is their action is upheld. Decree would be granted and they could look at wage arrestment etc. Petitioning for your sequestration would be their last option I suspect.

If they petition for sequestration, then the Trustee in sequestration would probably have a new valuation carried out. This would have no effect on your wife's half share interest in the property.

Mark

Mark is not posting regularly in the Trust-deed.co.uk forum.


   
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(@bonzo)
New Member
Joined: 13 years ago
Posts: 3
Topic starter  

Hello everyone and thanks for the resoonse

The action has run its course in the sheriff court. I defended the action at a recent proof but will not have a judgement until after xmas. To give you feed back
When my previous sole trading business collapsed last december,my wife formed a limited company and continued to trade from the premises. The city council had already irritated my lease and on the day I signed the trust deed I informed the landlord. I was by then employed by the company (without a job, no trust deed). the landlord did not force thru any removal until July and invoiced me for the time I was there. Naturaley I defended on the basis of being an employee and naturally the landlord did not see it that way. So the arguement really falls for the sheriff to decide wether I was in possesion unlawfully and award damages to the landlord in the shape of voilent profit, or I win on the basis that I was not in violent occupation. I think It is irrelavent to my case if the company is deemed to be the occupying unlawfully. On what basis can they go for wage arrestment? and how do things proceed? If they obtain decree


   
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Mark McFadyen
(@mark-mcfadyen)
Famed Member
Joined: 16 years ago
Posts: 4798
 

Hi bonzo

If they win, you may need to consider sequestration. Unlike Trust Deed, equestration will stop pre existing diligence ( legal action, wage arrestments etc)

Mark

Mark is not posting regularly in the Trust-deed.co.uk forum.


   
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