car crash/loss of earnings

beardc02

Hi There, I haven't been on for a while - seems like lots of bad luck going on at the moment!

Someone drove into the back of my Husband's car last week (he's a driving instructor) whilst I was driving with my baby in it. All ok except car gone into the garage for repairs etc. Anyway long story short hire car company cant get a replacement car to him until Weds and he will lose out on driving lessons and income. He may be able to claim for loss of earnings. We are going to court next Thurs for BR and I am concerned that if he gets this loss of earnings after we go to court that it will then be taken away by the OR as extra income. When infact it would have been used for bills and expenses and we are going to have to scrimp or borrow off parents to get by until it comes through. Does anyone know if we need to declare this to the OR if if we do will it be taken away?

Cheers x

debtinfo

Yes you do need to declare it and once bankrupt the right to take the case to court will actually be the OR's not his anymore, he would still get to keep amything that was for pain and suffering

beardc02

This just doesn't seem fair, it makes me want to not go BR until we've had the money through?! My Husband works hard for the little cash he gets and why should he suffer because someone drove into him completely not his fault :-(

Life just isn't fair, as if things aren't hard enough at the moment?

Thanks for your help though.

Heycock

Hi.
I know this may not make it seem less unfair but maybe an explanation of the logic would help you at least understand why this is the case.

The OR is entitled to take the loss of earnings element because if your husband had actually earned it, then he could/should have used it to pay creditors. I know he wouldn't have done in practice because of your situation, but that's how the thinking goes.

The other thing is that you will no longer "need" it because it will be evident by your appearance in court that you are still OK in body if not spirit so the OR's logic will be that you've obviously survived by getting deeper into debt. That increased debt due to loss of earnings is now included in the bankruptcy. The fact that you may have relied on the goodwill of friends or relatives isn't the OR's concern...they just get included as creditors. The position then is one of neutrality as far as the OR is concerned.

It's a horrible situation I know but the only positive way to look at it is that going bankrupt has positives as well as minuses. For most of us here the positives outweigh the negatives and I'm sure after a month or two of adjustment you'll feel the same.

Good luck...I know you'll feel alot better as soon as the judge tells you you no longer owe anybody any money...which will probably be about a minute after you've sat down. It's that quick sometimes!
:beer: