Back pay and the OR

shameless-about-money

I have had a search and found something interesting -

Regarding After Acquired Property

ix Are there any assets which are exempt for the purposes of section 307?

Any assets that would have been exempt under the provisions of section 283(2) as at the date of the bankruptcy order will normally still be exempt property for the purposes of section 307. This includes such items as tools of trade, household equipment and some vehicles, although where the trustee feels an item that would be exempt ordinarily is of excessive value, he can claim it as after-acquired property and replace it with an item of less value purchased with funds from the estate.

The trustee may not claim compensation paid to the bankrupt under the Criminal Injuries Compensation Scheme for personal injury, although there is a possibility that the trustee can claim any award for loss of earnings. The matter should be referred to the examiner/EO for advice.

Redundancy payments can be claimed under the provisions of section 307, as the payment is compensation for the loss of a job and thus should be treated as property rather than income.

However, payments in lieu of notice or for arrears of wages are in effect a substitute for some failure to pay income and they are not to be claimed as after-acquired property.


According to this , because it is arrears of wages, the OR is not supposed to claim any of it as "after acquired property".

Good News! If your OR sees it that way too, of course

Good luck!

shameless-about-money

However, if the windfall was the lottery or £30K from Auntie's will they take all of it.

scootw1

Thanks Shameless. That's great

scootw1

out of interest, have you got a link to that? I may need it at some point

Richard_S

shameless-about-money wrote:

I have had a search and found something interesting -

Regarding After Acquired Property

ix Are there any assets which are exempt for the purposes of section 307?

Any assets that would have been exempt under the provisions of section 283(2) as at the date of the bankruptcy order will normally still be exempt property for the purposes of section 307. This includes such items as tools of trade, household equipment and some vehicles, although where the trustee feels an item that would be exempt ordinarily is of excessive value, he can claim it as after-acquired property and replace it with an item of less value purchased with funds from the estate.

The trustee may not claim compensation paid to the bankrupt under the Criminal Injuries Compensation Scheme for personal injury, although there is a possibility that the trustee can claim any award for loss of earnings. The matter should be referred to the examiner/EO for advice.

Redundancy payments can be claimed under the provisions of section 307, as the payment is compensation for the loss of a job and thus should be treated as property rather than income.

However, payments in lieu of notice or for arrears of wages are in effect a substitute for some failure to pay income and they are not to be claimed as after-acquired property.


According to this , because it is arrears of wages, the OR is not supposed to claim any of it as "after acquired property".

Good News! If your OR sees it that way too, of course

Good luck!

That's an interesting piece of info shameless,

How do you think that relates to Tight Jocks situation?

Richard

shameless-about-money

Richard_S wrote:

That's an interesting piece of info shameless,

How do you think that relates to Tight Jocks situation?

Richard

You are on the wrong thread!

I think you have a problem that needs treatment Richard S ......................

Richard_S

shameless-about-money wrote:

You are on the wrong thread!

I think you have a problem that needs treatment Richard S ......................

Tight Jock posted a thread entitled "Compensation and the O.R" it was a similar employment issue to Scoot's thread on backpay due the the Agenda for Change and you posted a reply on there.

I thought your quote on this thread was a helpful and well researched post and merely posed the question "did you think it was relevant to Tight Jocks thread".

Why you made statement like the one above puzzles me; your clarification would be greatly appreciated.

Richard

scootw1

Does anyone have a link to the official guidelines for the OR?

scootw1

Found it now.

just spoke to OR who said I would have to hand over all the backpay.

less2303

shameless-about-money wrote:

However, payments in lieu of notice or for arrears of wages are in effect a substitute for some failure to pay income and they are not to be claimed as after-acquired property.[/COLOR]

My interpretation of this that this relates to events after the date of BR, i.e. notice given or backpay after the date of BR. Backpay from before the date of BR could still be claimed by the OR.