Administration Orders
All Administration Orders (AOs) made in the county courts in England & Wales, previously registered in the Registry of County Court Judgments, now form part of Section 1 of the Register of Judgments, Orders and Fines with details of county court judgments and Child Support Agency liability orders. An AO empowers the court to take over administration of the defendant’s debts, where these do not exceed £5,000 and whilst an agreed regular amount is repaid. Any debtor, against whom at least one county court or High Court judgment is registered, can make application to the court for an AO. If granted, this provides protection from further action by creditors in respect of any debts listed under the Order. Creditors not included in the Order cannot pursue their debts separately through the courts – if they try, these debts are automatically added to the AO. Any Orders registered after 6th April, 2006 will include date of birth, where known. The inclusion of a postcode in the address is mandatory unless leave of the court has been obtained.
Payment
If the Order is fully repaid after one calendar month from the date of Order,
the entry will be marked as ‘satisfied’ on the Register where it will remain
for the statutory six year period from the date of Order. If fully repaid
within one calendar month from the date of order, the record can be removed
from the Register. The defendant can also apply to the court for a Certificate
of Satisfaction or a Certificate of Cancellation, whichever is appropriate,
enclosing the court fee of £16 (cheque/postal order payable to HMCTS). Part
payment of the amount is not recorded on the Register. Any county court or
High Court judgment(s) included in the Order can only be marked as satisfied
if paid in full, and a separate fee must be paid for any Certificate of Satisfaction.
Removal
Details of Orders remain on the Register for a statutory period of six years
from the date of Order, unless set-aside or reversed by the court, or the
amount is fully repaid within one calendar month from the date of the order
when the court will notify RTL that the entry should be removed from the Register.
Amendment
If a defendant feels that details of a registration are inaccurate, a query should be raised directly with the relevant court who will investigate and, if appropriate, send any amendment to RTL. Upon receipt of their response, the Register will be amended by the end of the next working day.
Variation / revocation / suspension
When the amount of the debt agreed under the original Order has been changed,
when a composition order (debt is reduced to % of £ owed) is made or a lesser
monthly repayment figure agreed, the court will notify RTL in the first instance
and the Varied Order replaces the original order.
If the defendant does not make the regular payment ordered by the court, the arrangement under the AO may be withdrawn and the Order is then revoked. This releases creditors from the restrictions imposed and enables them to take further legal action – either obtaining a judgment where one does not already exist or making a bankruptcy application. The court notifies RTL of the revocation so that the Register can be amended to include this information. Suspension occurs when the defendant is unable to continue payments for a period and where the reason for this is acceptable to the court. RTL is not notified.
General information
Details of AOs, and any subsequent amendments are passed to the credit reference
agencies for inclusion in their records, to be notified to lenders on receipt
of a credit application, as an aid to responsible lending.
Under the Insolvency Act 1986, an AO may also be made against a limited company.
Details of these administration Orders are notified to Companies House and are
not held on the Register.