Capital Contribution Order and Property transfer

Quashing Orders. Stopping Enforcement. Applying for more time to pay. Disputing a liability.
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vok
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#1 Capital Contribution Order and Property transfer

Post by vok » 24 Sep 2017 23:24

Hi,
this is my first post and I apologise if by mistake I did not pick the correct section.

I received a call from Rossendales few days ago asking me to pay £50,000 Capital contribution order for my defence expenses after my conviction in 2016. I had already paid 5k as income contribution order before the conviction.
I told them that I prefer to receive any communication by letter as I like to keep evidence. I did not confirm anything on the phone and I told them that I would have made my enquires to the Legal Aid Agency via a Subject Access Request.
So far I have not received any Capital contribution order notification from Legal Aid Agency.

Details:
I did not go to the trial as I pleaded guilty.
I have two jointly properties with my wife but not liquidity in my bank account as I paid the Court confiscation order in full leaving me with not cash at all. The two jointly properties were already declare during the means test.
The two properties have outstanding mortgages.
Currently I am jobless and receiving JSA.
I live with my wife and two young children.
The total equity is over threshold of £30,000 so I am probably liable to pay something even if I strongly believe 50k is excessive and not yet supported by evidence.
I would like to protect my wife and children first.
Can I transfer my share of the two properties in my wife sole name or the name of a trustee, and form a Family harding keeps snooping on these boards or a property harding keeps snooping on these boards.
If this is legally possible, how much could cost and which are the negative consequences to use a Trust, such as taxes or future costs?

Thank You very much for your help

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Schedule 12
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#2 Re: Capital Contribution Order and Property transfer

Post by Schedule 12 » 25 Sep 2017 11:25

You are too late to put your assets and property into a family harding keeps snooping on these boards (FPT).

All it does is pass the family estate during lifetime to protect them from the effects of divorce, bankruptcy, charging orders etc. It guarantees a roof over the family and the assets (liquid) is used for the family, e.g. university, school fees, buying a first house etc and passes down the family line free of inheritance tax.

The primary reason for an FPT is tax efficiency but with the recent introduction of residential NRB, its negated because most families assets are in the principle home itself (asset rich, cash poor).

I have never done an FPT for a client as a knee-jerk reaction after an unexpected liability has occurred. If you had established an FPT at least five years before the debt event, you are safe. No debt can be enforced against it. Not even a bankruptcy affects it. Debts either expire under the Limitation Act or written off in bankruptcy. I am not sure whether a CCO can be written off in this way. It might be an exempt debt, such as student loan, or a court fine.

You don't need to transfer the registered land just because its held by trustees, but that doesn't mean to say you shouldn't. The trust instrument ringfences the land.

You mentioned a property harding keeps snooping on these boards (PPT). These are established on the death of a co-owner "joint tenant" and it passes the deceased share to beneficiaries leaving the other joint tenant(s) the lifetime use. It preserves the deceased share from the surviving spouse remarrying and divorcing away the deceased share from the family (predatory spouse).

Rossendales have no hope of enforcing a CCO because the likelihood of anyone having £50K sitting around is remote, and if they did, it's probably trust money (income, or annuity from rental income from trust property). Schedule 12 is not a suitable means of enforcing large sums of money, but its a required step before a creditor issues a statutory demand.

I expect the creditor will try a charging order. You can simply transfer your share of the property to the other joint tenants using Land Registry forms TR1 and AP1, but its not effective against bankruptcy because the transfer must occur 5 years (might be three years - please check) prior.
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vok
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Joined: 24 Sep 2017 21:33

#3 Re: Capital Contribution Order and Property transfer

Post by vok » 25 Sep 2017 12:51

thank you for your prompt reply.
I just wonder if you took into consideration that at the moment there is no CCO issued on me. That it only what Rossendales said on the phone. I sent a subject access request to Legal Aid to find out what they have on me at the moment.

I agree that after a CCO is issued it is too late for me to transfer a property or establish a trust.

My original question referred to a scenario in which there is not yet a CCO issue. Does it make any different?

thank you very much

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Schedule 12
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#4 Re: Capital Contribution Order and Property transfer

Post by Schedule 12 » 25 Sep 2017 14:09

What Do you want to do?
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Author: dealingwithbailiffs.co.uk

vok
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Joined: 24 Sep 2017 21:33

#5 Re: Capital Contribution Order and Property transfer

Post by vok » 25 Sep 2017 14:23

Hi,
If with my subject access request to the Legal Aid Agency I find out that there is not CCO issued on me ( maybe there could do it in the future but lets say they have not done it yet as claimed by Rossendales) then can I protect my jointly property in a legal way such as transferring my property share to my wife or form a Trust?
So the starting point is that there is not yet a CCO.

Thank you very much

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Schedule 12
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#6 Re: Capital Contribution Order and Property transfer

Post by Schedule 12 » 25 Sep 2017 14:34

You can set up a FPT now and that will protect the family estate from future liability. The exception is bankruptcy because the trustee can undo any transfer made just prior to it. It might be three years or five years. I'm not sure which.
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Author: dealingwithbailiffs.co.uk

vok
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Joined: 24 Sep 2017 21:33

#7 Re: Capital Contribution Order and Property transfer

Post by vok » 02 Oct 2017 14:49

Hi,
Please I need some help.
on 25/09 I sent a Subject request to Legal Aid Agency
on 27/09 Received letter from Rossendales dated 22.09.17 claiming that I should pay capital contribution order 50k. Letter attached. They say I failed to pay.
This morning I received an Order For Recovery af Award, which is attached.

My point is:
I never received any capital contribution order
I never refused to pay so how can rossedales say I failed to pay
I was not given any notice to pay the CCO nor a deadline to pay

How can they issue this order without serving the capital contribution order.
How can the county court issue this order without evidence of the CCO and my refusal of pay.
Also, Rossendales did not send any dunning letters to claim that I failed to pay.

Now I am lost. I do not what to do. Tomorrow the enforcement agent could know on my door.

Any help if really welcome.
thank you very much
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