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HMRC internal manual

Debt Management and Banking Manual

From
HM Revenue & Customs
Updated
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Ordinary cause: Claims for costs in sequestration cases where an arrestment has been executed

Where the sheriff officer has laid either an ordinary arrestment or an earnings arrestment you will have a claim for the costs of your diligence.

However, because any diligence executed within the period of 60 days before the date of sequestration is ineffectual, you must after deducting the expenses of your diligence, hand over the net proceeds of any action of furthcoming to the Permanent Trustee.

The exception to this being that even although you have executed your diligence within the “60 days before sequestration” period you are not required to pay over to the Permanent Trustee any of the monies received as a result of a mandate signed by the defender following an arrestment (see DMBM676650).