Charging Order

[chrisuk013]

What is the likelihood of the judge imposing a charging Order on someone's property when they have already defaulted on two seperate orders made by the County Court?

[HJT40]

I would guess that there is a good chance.

It would be up to the person who took out the original actions to enforce against the previous orders.

What were the previous orders they defaulted on?

With a charging order they could not defauly when the property is sold. The money should be taken directly from any proceeds.

[chrisuk013]

they firstly defaulted by not paying fourteen hundred pounds within 15 days being found guilty. We then got the bailiffs to exercute a warrant for the monies owed, then one of the defendents filled an application to have the warrant suspended. We went back to court and he was ordered to pay one hundred per month. Needless to say its been 3 months since we have been to court and no money has been received and the bailiff claims that he cannot exercute the warrant. So my next move is to get a charging order placed on them because they are showing no interest in paying me the money the owe me!

If i did get a charging order placed on them, would i be able to claim interest?

[themas]

I don't know for certain about the interest issue, although I think it is very likely that you could claim it.

If the facts are as you describe then they have breached the terms of the CCJ and you should have no difficulty at all in getting a charging order.

What is likely to be much more difficult is to then get an order for sale of their property. You would have to go to Court again to request this if they don't comply with the terms of the charging order (which could be a repeat of the CCJ term to pay �100 per month). Courts are much more reluctant to grant orders for sale than they are to grant the charging order.

[chrisuk013]

i dont really want the courts to force a sale, i just want to safeguard my money for future months,years because they owe me. As i understand a charging order. . . . is it true that if they sell there house with a charging order on it, that they cannot have any funds until the order is paid?

[themas]

The answer to your query is yes. But it can become a problem if there is not enough equity in the property to pay off the mortgage and then your charge (which ranks behind the mortgage). In theory you can refuse to agree a sale if this is the situation, but it may be that the debtor could get the Court to order a sale. If that happened, any part of your charge which was not paid off would become an unsecured debt.

It may be that you and the debtor could agree (if this is what you wish) that the money is not paid to you when the house is sold, but instead a charge is placed on the house the debtor is buying. Of course, this would not work if they are not buying one.

[Buenchico]

Information about charging orders, together with alternative enforcement measures, can be found here:
http://www.hmcourts-service.gov.uk/infoabout/e nforcement/index.htm

Chris