We previously reported on Raithatha v Williamson (4 April 2012) where the High Court held that a bankrupt’s right to draw a pension was subject to an income payments order (“IPO”) even if the individual had yet to draw his pension. This judgment represented a significant departure from previous practice under the Welfare Reform and Pensions Act 1999 which protected future pension rights from IPOs and distinguished them from pensions in payment. It also effectively allowed a trustee in bankruptcy to compel a bankrupt to draw pension against his wishes.
A Ministry of Justice Report released in March 2012 has confirmed that the implementation of the Third Parties (Rights against Insurers) Act 2010 (the "Act") is to be delayed until 2013.
In our Law-Now of 4 April 2012 (click here for link), we reported on the decision of the court in the case of Leisure (Norwich) II Limited v Luminar Lava Ignite Limited (in administration). The detailed judgment has now been released, setting out the rationale for the decision and summarising the position on rents in administration generally.
The legal position on this issue is now:
There have been rumours in the pensions industry for a while that the Bonas case was not in fact the first contribution notice (CN) case to be decided by the Regulator's Determination Panel (Panel). In March 2012 these rumours proved to be true when the embargo in the case of the Desmond Pension Scheme was lifted and details were published for the first time. This speedbrief considers the Panel's determination to impose contribution notices on two individuals (Mr Desmond and Mr Gordon) and the Upper Tribunal's decision on various preliminary iss
In Blight v Brewster [2012] EWHC 165 (Ch) the High Court allowed a creditor to enforce his judgment debt against a debtor's pension funds. The court followed a 2011 Privy Council case (Tasarruf Mevduati Sinorta Fonu v Merrill Lynch Bank and Trust Company & ors) in holding that it had jurisdiction to do so under section 37 of the Senior Courts Act 1981. Section 37 provides that the court may appoint a receiver in all cases in which it appears to the court to be just and convenient to do so.
Introduction
Airport and air navigation charges
EU Emissions Trading Scheme EU Emissions Trading Scheme
Comment
In its recent decision in Lehman Brothers International (Europe) (in administration)1 the Supreme Court resolves the uncertainty where a regulated firm does not properly segregate client monies. The decision has a number of practical implications, not only for the administration of Lehman Brothers International (Europe) (LBIE) but also for the way client monies are held by institutions.
Background
On 29 February 2012, the Supreme Court handed down its decision In the matter of Lehman Brothers International (Europe) (In Administration) and In the matter of the Insolvency Act 1986. The appeal addressed the meaning and application of Chapter 7 of the Client Assets Sourcebook (CASS 7) issued by the FSA for the safeguarding and distributing of client money in implementation of the Markets in Financial Instruments Directive 2004/39/EC.
Background
FOS upholds two Keydata complaints against IFAs but concludes that compensation should only be paid in one
The Financial Ombudsman Service ("FOS") has provisionally upheld two complaints made by Mr W and Mr and Mrs K against IFAs who recommended that they invest in the Keydata Bonds in 2005. FOS found that the products presented a greater risk than the investors were willing to take. Interestingly, however, compensation has only been offered to Mr and Mrs K.
KEY POINTS