Iva windfall exceptions

Lacoste1985

Hi. I have had an IVA for a year. I have recently been awarded some money as part of an employment tribunal out of court settlement. The terms of the payment are for injury to feelings for disability discrimination (without them admitting liability). None of the award is for loss of earnings.

As I understand it, there are exceptions to the windfall clause. So far I have found insurance claims (i.e. accident claims), redundancy payment would be exempt from being paid into the iva. So where does this leave token payments for settling disability discrimination cases where the wording in the breakdown states injury to feelings. From what I have found online it just says anything that is regarded as loss of earnings within any given breakdown would need to be surrendered to the IVA.

Also having just won a small claims court and being awarded damages (what it says in the court order) am i allowed to keep this?

Really need some clarification as keep being told different things and my IP seem to want me to hand over every penny.

mwarby

Do you still have your IVA agreement ? If so what does it say about windfalls ?

I think there is an exception for pain and suffering, but I think the reasoning maybe that you'd need the payout to cover treatment costs. I believe this would need to be in your arrangement terms, and there can be differences in terms between firms

Minkym00

Losss of earnings claims whilst subject to an IPA are claimable, personal injury claims are not. BUT when did you start the claim, pre or post bankruptcy?

Lacoste1985

Employment tribunal claim was started May 2018
Small claims was started August 2018 prior to iva start date
IVA began end of Aug 18

Lacoste1985

Loss of earnings were not claimed

mwarby

Minkym00 wrote: »

Losss of earnings claims whilst subject to an IPA are claimable, personal injury claims are not. BUT when did you start the claim, pre or post bankruptcy?

OP is in an IVA not bankruptcy, so IPA rules don't apply. Saying that many IVA rules are based on or copies of bankruptcy ones

PrettyKittyKat

Hmm this is a situation I think you will just need to ask your IP about.

Redundancy payment is not exempt from being paid into an IVA - just to clarify. There is a process in place to assess redundancy vs previous income and time to find new employment etc.

Personal injury claims are not required to be paid in as this is because this payment is to pay ongoing costs associated with the injury (e.g. physio). I read your post as being that the payment is compensation for having your feelings hurt? So there was no physical harm which may mean treatment costs are incurred. I suspect you will need to introduce this - however only your IP can confirm this.

As a side - how much money are we talking here? If it's substantial could it be enough to pay 100p in the £?