Part 8Attachment of money

Release of money attached

184Effect of payment order

1

A payment order authorises the F1officer of court—

a

to realise the value of money attached; and

b

subject to section 37 of the 1985 Act (effect of sequestration on diligence), to dispose of the proceeds of the money attachment by—

i

retaining such amount as necessary to meet the fees and outlays of the officer;

ii

paying to the creditor the remainder of those proceeds so far as necessary to meet the sum recoverable by the money attachment; and

iii

paying to the debtor any surplus remaining.

2

For the purposes of subsection (1) above, the payment order authorises the F2officer of court—

a

to act as the irrevocable agent of the debtor in relation to any banking instrument attached; and

b

to take any of the steps mentioned in subsection (3) below.

3

Those steps are—

a

presenting the instrument for payment;

b

if instructed by the creditor to do so, raising any action for payment that would have been open to the debtor to raise against any person liable to honour the instrument;

c

except where the instrument is not negotiable, negotiating the instrument—

i

for value; or

ii

to the creditor for value credited against the sum recoverable by the money attachment;

d

any other steps the debtor could have taken in relation to the instrument before the money attachment was executed.

4

The F3officer of court must, in taking any of the steps referred to in subsection (3) above, obtain the highest amount for the instrument as is reasonably practicable.

5

In subsection (1)(b) above, “proceeds of the money attachment” includes any amount—

a

deposited in a bank account by virtue of section 181(6) or 185(4)(b)(iii) of this Act;

b

obtained as a result of taking any of the steps mentioned in subsection (3) above; and

c

received by the F4officer of court by virtue of section 191(2)(c) of this Act.