Tribunals, Courts and Enforcement Act 2007

119 Existing county court proceedings to be stayed

(1) This section applies if these conditions are met—

(a) a debt repayment plan is arranged for a non-business debtor in accordance with an approved scheme;

(b) proceedings in a county court (other than bankruptcy proceedings) are pending against the debtor in respect of a qualifying debt;

(c) by virtue of section 116, the creditor under the qualifying debt is not entitled to continue the proceedings in respect of the debt;

(d) the county court receives notice of the debt repayment plan.

(2) The county court must stay the proceedings.

(3) The court may allow costs already incurred by the creditor.

(4) Subsection (5) applies if—

(a) the court allows such costs, and

(b) the qualifying debt is a specified debt.

(5) The operator of the approved scheme may, if requested to do so by—

(a) the non-business debtor, or

(b) the creditor under the qualifying debt,

add the costs to the amount specified in the plan in respect of the debt.

(6) But the operator may not add the costs under subsection (5) if, under the terms of the approved scheme, the operator is under a duty to terminate the plan.