PART 6

Debtor's contribution

Payments by debtor following sequestration

Deductions from debtor's earnings and other income
94
1
Subsections (2) to (6) apply where, under a debtor contribution order—
a
the debtor is required to pay to the trustee an amount from the debtor's earnings or other income, or
b
in accordance with section 90(6), a third person is required to pay to the trustee money otherwise due to the debtor by way of income.
2
The debtor must give the person mentioned in subsection (3) an instruction to make—
a
deductions of specified amounts from the debtor's earnings or other income, and
b
payments to the trustee of the amounts so deducted.
3
The person—
a
in the case of an amount to be paid from the debtor's earnings from employment, is the person by whom the debtor is employed,
b
in the case of an amount to be paid from other earnings or income of the debtor, is a third person who is required to pay the earnings or income to the debtor, and
c
in the case mentioned in subsection (1)(b), is the third person who is required to pay the income to the trustee.
4
The trustee may give the person mentioned in subsection (3) an instruction of the type mentioned in subsection (2) if the debtor fails—
a
to comply with the requirements imposed by that subsection, and
b
to pay the debtor's contribution in respect of 2 payment intervals applying by virtue of the debtor contribution order.
5
A person mentioned in subsection (3) must comply with an instruction provided in accordance with subsection (2) or (4).
6
Where the person by whom the debtor is employed or another third person pays a sum of money to the trustee in accordance with this section, that person is discharged from any liability to the debtor to the extent of the sum so paid.
7
The Scottish Ministers may by regulations make provision about instructions to be provided under this section, including in particular—
a
the form in which an instruction must be made,
b
the manner in which an instruction provided in accordance with subsection (2) or (4) affects the recipient of that instruction, and
c
the consequence of any failure of a recipient of an instruction provided in accordance with subsection (2) or (4) to comply with the duty imposed by subsection (5).
S. 94 in force at 30.11.2016 by S.S.I. 2016/294, reg. 2