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The Insolvency (Amendment) Rules (Northern Ireland) 2013

S.R. 2013/278 · Made 27 November 2013

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

Insolvency

Individuals

Made 27th November 2013

Coming into operation 24th December 2013

The Department of Justice makes the following Rules in exercise of the powers conferred by Article 359 of the Insolvency (Northern Ireland) Order 1989f1, with the concurrence of the Department of Enterprise, Trade and Investmentf2.

In accordance with Article 360 of that Order the Department of Justice has consulted the Committee appointed to review Rules.

Annotations to the whole text

Footnotes

f1

S.I. 1989/2405 (N.I. 19), Article 359 of which was amended by the Insolvency (Northern Ireland) Order 1989 (Amendment) Regulations (Northern Ireland) 2002 (S.R. 2002 No. 223), section 15 of and paragraph 81 of Schedule 5 to the Constitutional Reform Act 2005 (c.4), and by Article 15(5) of and paragraph 142 of Schedule 18 to the Northern Ireland Act 1998 (Devolution of Policing and Justice Functions) Order 2010 (S.I. 2010/976).

f2

Formerly the Department of Economic Development, see the Departments (Northern Ireland) Order 1999 (S.I. 1999/283 (N.I. 1)), Article 3(5).

Contents

  1. 1Citation and commencement
  2. 2Transitional Provisions
  3. 3Amendments to the Insolvency Rules (Northern Ireland) 1991
  4. Signature
  5. Explanatory note

1Citation and commencement

These Rules may be cited as the Insolvency (Amendment) Rules (Northern Ireland) 2013 and come into operation on 24th December 2013.

2Transitional Provisions

(1)

The amendment made by Rule 3(2) only applies where an application is made for a debt relief order on or after 24th December 2013.

(2)

The amendments made by Rule 3(3) and (4) only apply in relation to petitions for bankruptcy where the petition is presented on or after 24th December 2013.

3Amendments to the Insolvency Rules (Northern Ireland) 1991

(1)

The Insolvency Rules (Northern Ireland) 1991f1 are amended as follows.

(2)

In Rule 5A.3 (excluded debts)—

(a)

at the end of sub-paragraph (1)(c) omit “and”;

(b)

after sub-paragraph (1)(d), add—

“; and

(e)

any obligation arising from a payment out of the social fund under section 134(1)(b) of the Social Security Contributions and Benefits (Northern Ireland) Act 1992f2 by way of crisis loan or budgeting loan.”.

(3)

In Rule 6.221 (bankrupt’s debts surviving discharge), at the end add “or any obligation arising from a payment out of the social fund under section 134(1)(b) of the Social Security Contributions and Benefits (Northern Ireland) Act 1992 by way of crisis loan or budgeting loan”.

(4)

In Rule 12.03 (provable debts), in sub-paragraph (2)(b), at the end add “or any obligation arising from a payment out of the social fund under section 134(1)(b) of the Social Security Contributions and Benefits (Northern Ireland) Act 1992 by way of crisis loan or budgeting loan”.

Signature

Sealed with the Official Seal of the Department of Justice on 27th November 2013

L.S.

David Ford

Minister of Justice

The Department of Enterprise, Trade and Investment concurs with the foregoing Rules

Sealed with the Official Seal of the Department of Enterprise, Trade and Investment on 27th November2013

L.S.

Jackie Kerr

A senior officer of the

Department of Enterprise, Trade and Investment

Explanatory note

(This note is not part of the Order)

These Rules amend the Insolvency Rules (Northern Ireland) 1991.

They amend the definition of “excluded debt” in Rule 5A.3 so as to exclude from the scope of a Debt Relief Order any obligation arising from a payment out of the social fund by way of crisis loan or budgeting loan.

They also amend Rule 6.221 so as to include such an obligation in the list of debts that survive an individual’s bankruptcy, and Rule 12.03 to prevent such an obligation being included as a “provable debt” in a bankruptcy.

Rule 2 makes transitional provisions.

An impact assessment of the effect that this rule will have on the costs of business and the voluntary sector is published with the Explanatory Memorandum alongside the rule on www.legislation.gov.uk.