Bankruptcy and Diligence etc. (Scotland) Act 2007

Part 1Bankruptcy

Duration of bankruptcy

1Discharge of debtor

Bankruptcy restrictions orders and undertakings

2Bankruptcy restrictions orders and undertakings

Effect of bankruptcy restrictions orders and undertakings

3Disqualification from being appointed as receiver

4Disqualification for nomination, election and holding office as member of local authority

5Orders relating to disqualification

The trustee in the sequestration

6Amalgamation of offices of interim trustee and permanent trustee

7Repeal of trustee's residence requirement

8Duties of trustee

9Grounds for resignation or removal of trustee

10Termination of interim trustee's functions

11Statutory meeting and election of trustee

12 Replacement of trustee acting in more than one sequestration

13Requirement to hold money in interest bearing account

Debtor applications

14Debtor applications

15Debtor applications by low income, low asset debtors

16Sequestration proceedings to be competent only before sheriff

Vesting of estate and dealings of debtor

17Vesting of estate and dealings of debtor

Income received by debtor after sequestration

18Income received by debtor after sequestration

Debtor's home and other heritable property

19Debtor's home and other heritable property

Protected trust deeds

20Modification of provisions relating to protected trust deeds

21Modification of composition procedure

Status and powers of Accountant in Bankruptcy

22Status of Accountant in Bankruptcy as officer of the court

23Accountant in Bankruptcy's power to investigate trustees under protected trust deeds

24Modification of offences under section 67 of the 1985 Act

Miscellaneous and general

25Debt limits in sequestrations

26Creditor to provide debt advice and information package

27Continuation of sequestration proceedings

28Abolition of summary administration

29Non-vested contingent interest reinvested in debtor

30Debtor's requirement to give account of state of affairs

31Restriction of debtor's right to appeal under sections 49(6) and 53(6) of the 1985 Act

32Status of order on petition to convert protected trust deed into sequestration

33Power to provide for lay representation in sequestration proceedings

34Treatment of student loans on sequestration

35Certain regulations under the 1985 Act: procedure

36Minor and consequential amendments of the 1985 Act

Part 2Floating charges

Registration and creation etc.

37Register of Floating Charges

38Creation of floating charges

39Advance notice of floating charges

40Ranking of floating charges

41Ranking clauses

42Assignation of floating charges

43Alteration of floating charges

44Discharge of floating charges

45Effect of floating charges on winding up

46Repeals, savings and transitional arrangements

47Interpretation

Related further provision

48Formalities as to documents

49Industrial and provident societies

Part 3Officers of court

Scottish Civil Enforcement Commission

50Scottish Civil Enforcement Commission

Advisory Council on Messengers-at-Arms and Sheriff Officers

51Advisory Council's annual report

52Publication of guidance and other information

53Published information not to enable identification

54Register of judicial officers

55Code of practice

56Publication of information relating to informal debt collection

Judicial officers

57Judicial officers

58Appointment of judicial officer

Abolition of offices of messenger-at-arms and sheriff officer

60Abolition of offices of messenger-at-arms and sheriff officer

Regulation of officers of court

61Regulation of officers of court

62Duty to notify Lord President and sheriff principal of bankruptcy etc.

Officers of court's professional association

63Officers of court's professional association

63ACode of practice

64Duty of professional association to forward complaints ...

65Information from professional association

Annual fee for officers of court

Investigation of officers of court

66Inspection of officer of court

67Investigation of alleged misconduct by judicial officer

68Suspension of judicial officer pending outcome of disciplinary or criminal proceedings

69Commission's duty in relation to offences or misconduct by judicial officer

70Commission's power in relation to judicial officer's bankruptcy etc.

Disciplinary proceedings

71Referrals to the disciplinary committee

72Disciplinary committee's powers

73Orders under sections 68 and 72: supplementary provision

74Appeals from decisions under sections 58, 68 and 72

Miscellaneous

75Officer of court's actions void where officer has interest

76Measure of damages payable by judicial officer for negligence or other fault

77Effect of code of practice

78Electronic publications and communications

Part 4Land attachment and residual attachment

Chapter 1Abolition of adjudication for debt

79Abolition of adjudication for debt

80Renaming of the Register of Inhibitions and Adjudications

Chapter 2Attachment of land

Land attachment

81Land attachment

82Attachable land

83Notice of land attachment

Consequences of land attachment

84Debts secured by land attachment not rendered heritable

85Restriction on priority of ranking of certain securities

86Lease granted after registration of notice of land attachment

87Assignation of title deeds etc.

88Acquisition of right to execute land attachment

89Effect of debtor's death before land attachment created

90Effect of debtor's death after land attachment created

91Caveat by purchaser under missives

Preparations for sale of attached land

92Application for warrant to sell attached land

93Notice to local authority of application for warrant for sale

94Preliminary hearing on application for warrant to sell

95Valuation report

96Creditor's duties prior to full hearing on application for warrant for sale

97Full hearing on application for warrant for sale

98Application for warrant for sale of sole or main residence

99Protection of purchaser under contract where creditor applies for warrant for sale

100Protection of purchaser under contract where warrant for sale granted

101Provision supplementary to sections 99 and 100

102Warrant for sale of attached land owned in common

103Intimation of sheriff's decision at full hearing

104Supplementary orders as respects sale

105Effect of certain refusals of application for warrant for sale under section 97(5)

106Termination of debtor's right to occupy land

107Consequences of giving notice under section 106(1)

108Appointed person

109Method of sale

110Legal incapacity or disability of debtor not to affect title of purchaser

111Title of purchaser not to be affected by certain irregularities

112Effect of registration of disposition on securities

113Report of sale

114Audit of report of sale

115Sheriff's consideration of report

116Proceeds of sale

118Registration of decree of foreclosure

Payments to account and expenses

120Expenses of land attachment

Termination, discharge etc. of land attachment

121Termination by payment etc.

123Recall and restriction of land attachment

124Duration of land attachment

Land attachment subsequent to reduction of deed granted in breach of inhibition

125Land attachment subsequent to reduction of deed granted in breach of inhibition

General and miscellaneous

126Land attachment as heritable security

127Statement on impact of land attachment

127AAmendment of Bankruptcy (Scotland) Act 2016

128Interpretation

Chapter 3Residual attachment

Residual attachment

129Residual attachment

Application for residual attachment order

130Application for residual attachment order

131Effect of application for residual attachment order

Residual attachment order

132Residual attachment order

133Schedule of residual attachment

134Creation and effect of residual attachment

Satisfaction order

135Application for satisfaction order

136Satisfaction order

137Intimation of court's decision

138Effect of certain refusals of application for satisfaction order

Termination, discharge etc. of residual attachment

139Termination by payment etc.

141Duration of residual attachment

142Effect of death of debtor

General and miscellaneous

143Expenses of residual attachment

145Interpretation

Part 5Inhibition

146Certain decrees and documents of debt to authorise inhibition without need for letters of inhibition

147Provision of debt advice and information package when executing inhibition

148Registration of inhibition

148ARegister of Inhibitions: electronic signature of documents

149Date on which inhibition takes effect

150Property affected by inhibition

151Effect on inhibition to enforce obligation when alternative decree granted

152Effect of conversion of limited inhibition on the dependence to inhibition in execution

153Property affected by inhibition to enforce obligation to convey heritable property

154Inhibition not to confer a preference in ranking

155Power of receiver or liquidator in creditors' voluntary winding up to dispose of property affected by inhibition

156Termination of effect of inhibition

157Inhibition terminated by payment of full amount owing

158Inhibition terminated by compliance with obligation to perform

159Termination of inhibition when property acquired by third party

160Breach of inhibition

161Prescription of right to reduce transactions in breach of inhibition

162Registration of notice of litigiosity and discharge of notice

163Reduction of lease granted in breach of inhibition

General and miscellaneous

164Power to prescribe forms in the 1868 Act

165Expenses of inhibition

167Keeper's duty to enter inhibition on title sheet

168Inhibition effective against judicial factor

Part 6Diligence on the dependence

169Diligence on the dependence

170Prescription of arrestment

171Abolition of letters of loosing

172Abolition of adjudication in security

Part 7Interim attachment

173Interim attachment

Part 8Attachment of money

Money attachment

174Money attachment

175Meaning of “money” and related expressions

176When money attachment not competent

Execution of money attachment

177Removal of money attached

178Presumption of ownership

179Schedule of money attachment

180Valuation of banking instruments

181Order for realisation of money likely to deteriorate in value

182Report of money attachment

Release of money attached

183Creditor's application for payment order

184Effect of payment order

185Release of money where attachment unduly harsh

186Invalidity and cessation of money attachment

187Termination of money attachment

188Redemption of banking instrument

Statement of money attachment

189Final statement of money attachment

190Audit of final statement under section 189(1)

General and miscellaneous

191Money in common ownership

192Procedure where money owned in common is disposed of

193Unlawful acts after money attachment

195Recovery from debtor of expenses of money attachment

196Liability for expenses of money attachment

198Interpretation

Part 9Diligence against earnings

199Simultaneous operation of arrestments against earnings where net earnings insufficient

200Arrestment of earnings: deductions from holiday pay

201Provision of debt advice and information package

202Intimation of arrestment schedule

203Provision of information

204Conjoined arrestment orders: jurisdiction

205Arrestment of seamen's wages

Part 10Arrestment in execution and action of furthcoming

206Arrestment in execution

Part 11Maills and duties, sequestration for rent and landlord's hypothec

Abolition of maills and duties

207Abolition of maills and duties

Landlord's hypothec and sequestration for rent

208Abolition of sequestration for rent and restriction of landlord's hypothec

Part 12Summary warrants, time to pay and charges to pay

209Summary warrants, time to pay and charges to pay

210Time to pay directions and time to pay orders

Part 13Amendments of the Debt Arrangement and Attachment (Scotland) Act 2002

211Debt payment programmes with debt relief

212Further amendments of the Debt Arrangement and Attachment (Scotland) Act 2002

Part 14Admiralty actions and arrestment of ships

213Admiralty actions and the arrestment of ships: modification of enactments

Part 15Actions for removing from heritable property

214Expressions used in this Part

215Procedure for execution of removing

216Service of charge before removing

217When removing not competent

218Preservation of property left in premises

219Caution for pecuniary claims

Part 16Disclosure of information

220Information disclosure

Part 17General and miscellaneous

221Interpretation

Execution of diligence: electronic standard securities

222Registration and execution of electronic standard securities

223Crown application

224Orders and regulations

225Ancillary provision

226Minor and consequential amendments and repeals

227Short title and commencement

SCHEDULE 1Minor and consequential amendments of the 1985 Act

1Minor and consequential amendments of the 1985 Act

2Minor and consequential amendments of the 1985 Act

3Minor and consequential amendments of the 1985 Act

4Minor and consequential amendments of the 1985 Act

5Minor and consequential amendments of the 1985 Act

6Minor and consequential amendments of the 1985 Act

7Minor and consequential amendments of the 1985 Act

8Minor and consequential amendments of the 1985 Act

9Minor and consequential amendments of the 1985 Act

10Minor and consequential amendments of the 1985 Act

11Minor and consequential amendments of the 1985 Act

12Minor and consequential amendments of the 1985 Act

13Minor and consequential amendments of the 1985 Act

14Minor and consequential amendments of the 1985 Act

15Minor and consequential amendments of the 1985 Act

16Minor and consequential amendments of the 1985 Act

17Minor and consequential amendments of the 1985 Act

18Minor and consequential amendments of the 1985 Act

19Minor and consequential amendments of the 1985 Act

20Minor and consequential amendments of the 1985 Act

21Minor and consequential amendments of the 1985 Act

22Minor and consequential amendments of the 1985 Act

23Minor and consequential amendments of the 1985 Act

24Minor and consequential amendments of the 1985 Act

25Minor and consequential amendments of the 1985 Act

26Minor and consequential amendments of the 1985 Act

27Minor and consequential amendments of the 1985 Act

28Minor and consequential amendments of the 1985 Act

29Minor and consequential amendments of the 1985 Act

30Minor and consequential amendments of the 1985 Act

31Minor and consequential amendments of the 1985 Act

32Minor and consequential amendments of the 1985 Act

33Minor and consequential amendments of the 1985 Act

34Minor and consequential amendments of the 1985 Act

35Minor and consequential amendments of the 1985 Act

36Minor and consequential amendments of the 1985 Act

37Minor and consequential amendments of the 1985 Act

38Minor and consequential amendments of the 1985 Act

39Minor and consequential amendments of the 1985 Act

40Minor and consequential amendments of the 1985 Act

41Minor and consequential amendments of the 1985 Act

42Minor and consequential amendments of the 1985 Act

43Minor and consequential amendments of the 1985 Act

44Minor and consequential amendments of the 1985 Act

45Minor and consequential amendments of the 1985 Act

46Minor and consequential amendments of the 1985 Act

47Minor and consequential amendments of the 1985 Act

48Minor and consequential amendments of the 1985 Act

49Minor and consequential amendments of the 1985 Act

50Minor and consequential amendments of the 1985 Act

51Minor and consequential amendments of the 1985 Act

52Minor and consequential amendments of the 1985 Act

53Minor and consequential amendments of the 1985 Act

54Minor and consequential amendments of the 1985 Act

55Minor and consequential amendments of the 1985 Act

56Minor and consequential amendments of the 1985 Act

57Minor and consequential amendments of the 1985 Act

58Minor and consequential amendments of the 1985 Act

59Minor and consequential amendments of the 1985 Act

60Minor and consequential amendments of the 1985 Act

61Minor and consequential amendments of the 1985 Act

62Minor and consequential amendments of the 1985 Act

SCHEDULE 2The Scottish Civil Enforcement Commission

1The Scottish Civil Enforcement Commission

2The Scottish Civil Enforcement Commission

3The Scottish Civil Enforcement Commission

Tenure of office

4The Scottish Civil Enforcement Commission

5The Scottish Civil Enforcement Commission

6The Scottish Civil Enforcement Commission

7The Scottish Civil Enforcement Commission

8The Scottish Civil Enforcement Commission

9The Scottish Civil Enforcement Commission

10The Scottish Civil Enforcement Commission

11The Scottish Civil Enforcement Commission

12The Scottish Civil Enforcement Commission

Filling vacancies

13The Scottish Civil Enforcement Commission

14The Scottish Civil Enforcement Commission

15The Scottish Civil Enforcement Commission

Disciplinary Committee

16The Scottish Civil Enforcement Commission

17The Scottish Civil Enforcement Commission

General powers

18The Scottish Civil Enforcement Commission

19The Scottish Civil Enforcement Commission

20The Scottish Civil Enforcement Commission

21The Scottish Civil Enforcement Commission

Structure and procedures

22The Scottish Civil Enforcement Commission

Chief executive officer and other staff

23The Scottish Civil Enforcement Commission

24The Scottish Civil Enforcement Commission

25The Scottish Civil Enforcement Commission

26The Scottish Civil Enforcement Commission

27The Scottish Civil Enforcement Commission

28The Scottish Civil Enforcement Commission

Location of office

29The Scottish Civil Enforcement Commission

Financing by the Scottish Ministers

30The Scottish Civil Enforcement Commission

31The Scottish Civil Enforcement Commission

32The Scottish Civil Enforcement Commission

Accounts and audit

33The Scottish Civil Enforcement Commission

34The Scottish Civil Enforcement Commission

35The Scottish Civil Enforcement Commission

SCHEDULE 3Expenses of money attachment

Expenses chargeable against the debtor

1There is to be chargeable against the debtor any expenses...

2Expenses chargeable against the debtor by virtue of paragraph 1(e)...

Circumstances where no expenses are due to or by either party

3Subject to paragraph 4 below, the debtor shall not be...

4If— (a) an application mentioned in paragraph 3(a) above is...

5Paragraphs 3 and 4 above do not apply to expenses...

SCHEDULE 4Modifications of enactments relating to admiralty actions and the arrestment of ships

Definition of “maritime lien”

1In section 48 of the Administration of Justice Act 1956...

2In sections 45(5) and 47(3)(b), (4)(b) and (5) of the...

3In section 47(2)(r) of the 1956 Act, for “or hypothecation...

The term “admiralty action”

4In section 47 of the 1956 Act—

5(1) In paragraph 7 of schedule 5 to the Civil...

Arrestment in rem granted by the sheriff

6After section 47 of the 1956 Act, insert— Execution of...

Arrestment on the dependence

7(1) Section 47 of the 1956 Act is amended as...

Liability for losses and expenses

8After section 47A of the 1956 Act (as inserted by...

Factors affecting arrestments

9After section 47B of the 1956 Act (as inserted by...

Cargo on board a ship exempt from attachment

10In section 11 of the 2002 Act (articles exempt from...

Location of a ship when arrestment executed

11In section 47 of the 1956 Act—

Demise charters

12After section 47D of the 1956 Act (as inserted by...

13In section 6(c) of the Sheriff Courts (Scotland) Act 1907...

SCHEDULE 5Minor and consequential amendments

The Companies Clauses Consolidation (Scotland) Act 1845 (c. 17)

1In section 114 of the Companies Clauses Consolidation (Scotland) Act...

The Harbours, Docks and Piers Clauses Act 1847 (c. 27)

2In section 46 of the Harbours, Docks and Piers Clauses...

The Titles to Land Consolidation (Scotland) Act 1868 (c. 101)

3In section 3 of the Titles to Land Consolidation (Scotland)...

The Writs Execution (Scotland) Act 1877 (c. 40)

4In section 3(a) of the Writs Execution (Scotland) Act 1877...

The Judicial Factors (Scotland) Act 1889 (c. 39)

5In section 11A of the Judicial Factors (Scotland) Act (application...

The Sheriff Courts (Scotland) Extracts Act 1892 (c. 17)

6(1) The Sheriff Courts (Scotland) Extracts Act 1892 is amended...

The Execution of Diligence (Scotland) Act 1926 (c. 16)

7(1) The Execution of Diligence (Scotland) Act 1926 is amended...

The Local Government (Scotland) Act 1947 (c. 43)

8(1) The Local Government (Scotland) Act 1947 is amended as...

The Taxes Management Act 1970 (c. 9)

9(1) The Taxes Management Act 1970 is amended as follows....

The Sheriff Courts (Scotland) Act 1971 (c. 58)

10In section 32(1) of the Sheriff Courts (Scotland) Act 1971...

The Animal Health Act 1981 (c. 22)

11In section 92(3) of the Animal Health Act 1981 (power...

The Civil Jurisdiction and Judgments Act 1982 (c. 27)

12In section 27 of the Civil Jurisdiction and Judgments Act...

The Bankruptcy (Scotland) Act 1985 (c. 66)

13(1) The 1985 Act is amended as follows.

The Insolvency Act 1986 (c. 45)

14(1) The Insolvency Act 1986 is amended as follows.

The Legal Aid (Scotland) Act 1986 (c. 47)

15In Part 2 of Schedule 2 to the Legal Aid...

The Debtors (Scotland) Act 1987 (c. 18)

16(1) The 1987 Act is amended as follows.

The Abolition of Domestic Rates etc. (Scotland) Act 1987 (c. 47)

17(1) Schedule 2 to the Abolition of Domestic Rates etc....

The Child Support Act 1991 (c. 48)

18In section 38 of the Child Support Act 1991 (enforcement...

The Social Security Administration Act 1992 (c. 5)

19In section 121B of the Social Security Administration Act 1992—...

The Local Government Finance Act 1992 (c. 14)

20(1) Schedule 8 to the Local Government Finance Act 1992...

The Tribunals and Inquiries Act 1992 (c. 53)

21In Part II of Schedule 1 to the Tribunals and...

The Proceeds of Crime (Scotland) Act 1995 (c. 43)

22In section 32 of the Proceeds of Crime (Scotland) Act...

The Criminal Procedure (Scotland) Act 1995 (c. 46)

23In section 221 of the Criminal Procedure (Scotland) Act 1995...

The Finance Act 1997 (c. 16)

24In section 52 of the Finance Act 1997—

The Ethical Standards in Public Life etc. (Scotland) Act 2000 (asp 7)

25In schedule 3 to the Ethical Standards in Public Life...

The Water Industry (Scotland) Act 2002 (asp 3)

26(1) Schedule 4 to the Water Industry (Scotland) Act 2002...

The Scottish Public Services Ombudsman Act 2002 (asp 11)

27In Part 2 of schedule 2 to the Scottish Public...

The Freedom of Information (Scotland) Act 2002 (asp 13)

28In schedule 1 to the Freedom of Information (Scotland) Act...

The Proceeds of Crime Act 2002 (c. 29)

29In section 123 of the Proceeds of Crime Act (inhibition...

The Debt Arrangement and Attachment (Scotland) Act 2002 (asp 17)

30(1) The 2002 Act is amended as follows.

The Public Appointments and Public Bodies etc. (Scotland) Act 2003 (asp 4)

31In schedule 2 to the Public Appointments and Public Bodies...

The Finance Act 2003 (c. 14)

32In paragraph 3(2) of Schedule 12 to the Finance Act...

The Civil Partnership Act 2004 (c. 33)

33In section 103(6) of the Civil Partnership Act 2004 (warrant...

SCHEDULE 6Repeals and revocation

Part 2Revocation

Royal arms

Bankruptcy and Diligence etc. (Scotland) Act 2007

2007 asp 3

The Bill for this Act of the Scottish Parliament was passed by the Parliament on 30th November 2006 and received Royal Assent on 15th January 2007

An Act of the Scottish Parliament to amend the law of sequestration and personal insolvency; to amend the law about floating charges; to establish a Scottish Civil Enforcement Commission and replace officers of court with judicial officers; to amend the law of diligence; and for connected purposes.