274ADebtor who meets conditions for a debt relief order

1

This section applies where, on the hearing of a debtor’s petition—

a

it appears to the court that a debt relief order would be made in relation to the debtor if, instead of presenting the petition, he had made an application under Part 7A; and

b

the court does not appoint an insolvency practitioner under section 273.

2

If the court thinks it would be in the debtor’s interests to apply for a debt relief order instead of proceeding on the petition, the court may refer the debtor to an approved intermediary (within the meaning of Part 7A) for the purposes of making an application for a debt relief order.

3

Where a reference is made under subsection (2) the court shall stay proceedings on the petition on such terms and conditions as it thinks fit; but if following the reference a debt relief order is made in relation to the debtor the court shall dismiss the petition.