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Third Party Debt Order

Where your debtor is owed money by a third party, the court has the power to make an order directing that the money be paid direct to you, rather than to your debtor.For example, the debtor may have a deposit account with a bank or building society. You only need to have evidence that the debtor has an account with the bank etc, you don’t need to know the account number or even the branch, although it is helpful to have that information.

The order only affects accounts in the sole name of the defendant and not
accounts held jointly with someone else. Of course, it is only useful if there
is a credit balance in the account.

Debtors don’t often have accounts in credit! The procedure can be used
against debts due e.g. from a customer of the debtor, but getting that
information can be difficult. Such applications are made, but not very
often.

What this order does not do is freeze the debtor’s accounts in the way that
is possible in Scotland.

Related article:

Debt Recovery: Using A Third Party Debt Order

30 October 13 10:00:00 Europe/London
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