Personal Insolvency Act 2012
Debt Settlement Arrangement: Non-exhaustive list of matters for possible inclusion. |
66.— (1) Subject to the provisions of this Act, a proposal for a Debt Settlement Arrangement may incorporate one or more of the options in subsection (2) with respect to payments to creditors. | |
(2) The terms of a proposal for a Debt Settlement Arrangement may include any one or more of the following: | ||
(a) a lump sum payment to creditors, whether provided from the debtor’s own resources or from the resources of other persons; | ||
(b) a payment arrangement with creditors; | ||
(c) an agreement by the debtor to transfer some or all of the debtor’s property to a person (who may be the personal insolvency practitioner) to hold the property in trust for the benefit of the creditors; | ||
(d) a transfer of specified assets of the debtor to creditors generally or to a specified creditor; | ||
(e) a sale of specified assets of the debtor by the personal insolvency practitioner and the payment of the proceeds of such sale to creditors. | ||
(3) Unless provision is otherwise made in the Debt Settlement Arrangement, and subject to section 67 , the arrangement shall provide for payments to creditors to be made on a pari passu basis, and where so otherwise provided the Debt Settlement Arrangement shall specify the reasons for such provision being made. | ||
(4) Unless provision is otherwise made in the Debt Settlement Arrangement, where an Arrangement provides for payments to a creditor to whom section 58 applies that are greater than the payments that creditor would receive if such payments were made on a pari passu basis, the fees, costs and charges referred to in section 65 (2)(e) shall be payable by that creditor in proportion to the payments received by him or her. | ||
(5) The payment of moneys or the performance of obligations provided for by a Debt Settlement Arrangement may be secured by a charge or a guarantee given by the debtor or a charge or guarantee given by a person other than the debtor. | ||
(6) Subject to the provisions of this Act, the terms of a Debt Settlement Arrangement may include provisions relating to payments other than those specified in this section. |