Loson v Stack & Anor

Loson v Stack & Anor

The District Judge erred by granting an instalment order without properly balancing the interests of the creditors and failing to consider whether the proposed payment schedule would realistically discharge the debt within a reasonable period; as Ms Loson had no ability to pay the principal or interest, the application for instalment payments was properly dismissed.

Parties
Appellant: Diana Loson; Respondent: Brett Stack; Respondent: Newlyn PLC
Jurisdiction
England and Wales
Judgment Date
17 April 2018
Procedural Posture
Civil Appeal / Court of Appeal Judgment
Outcome
appeal dismissed
Legal Topics
Variation of Costs Orders, Instalment Payments, Bankruptcy Proceedings, Judgment Enforcement
Civil Procedure Insolvency Costs Variation of Costs Orders Instalment Payments Bankruptcy Proceedings Judgment Enforcement

Case Brief

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Parties

Diana Loson

Appellant

Brett Stack

Respondent

Newlyn PLC

Respondent

Procedural Posture

Civil Appeal / Court of Appeal Judgment

Legal Issues

  1. 1 Whether the County Court should grant an instalment order for payment of costs under CPR 40.9A
  2. 2 Whether the District Judge correctly balanced the interests of the judgment creditor and debtor
  3. 3 Effect of an instalment order on pending bankruptcy proceedings

Ratio Decidendi

The District Judge erred by granting an instalment order without properly balancing the interests of the creditors and failing to consider whether the proposed payment schedule would realistically discharge the debt within a reasonable period; as Ms Loson had no ability to pay the principal or interest, the application for instalment payments was properly dismissed.

Court Disposition

appeal dismissed

Orders

  • District Judge's instalment order set aside
  • Ms Loson's application for variation of costs orders dismissed