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Bankruptcy and Diligence (Scotland) Act 2024

Modification of the Bankruptcy (Scotland) Act 2016

Section 11 – Debtor not traced: former trustee’s outlays and remuneration

35.This section makes changes to section 142 of the 2016 Act. Section 142 contains the process by which the trustee in a sequestration may resign office and be replaced by AiB where it is not possible to trace the whereabouts of the debtor. This section clarifies that the restriction on recovery of outlays and remuneration in section 142(6)(c) does not apply to outlays and remuneration already claimed and paid to the former trustee before the issue of the notice granting the application to resign office, and ensures consistency with the treatment of fees and outlays for former trustees of uncooperative debtors (set out in section 147A(9)(d) of the 2016 Act, as inserted by section 12 of the Act).

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