PART 2

Sequestration: award and recall

Recall of sequestration

Interest
37A
1
This section applies for the purpose of determining the amount of interest payable on the debtor’s debts in relation to a recall of an award of sequestration.
2
Interest, between the date of sequestration and the date of payment of the debt, is payable at the rate specified in section 129(10), unless subsection (3) applies.
3
This subsection applies if the whole of the debt is paid in full within 6 months after the date of the award of sequestration, in which case interest is not payable on the debt.
4
For the avoidance of doubt, if only part of the debt is paid within 6 months after the date of the award of sequestration, interest is payable on the whole of the debt (including any part of the debt already paid since the award) in accordance with subsection (2).
S. 37A inserted (25.6.2025) by Bankruptcy and Diligence (Scotland) Act 2024 (asp 9), ss. 5(6), 22(2); S.S.I. 2025/107, reg. 2(2)(b) (with reg. 3)