Caldwell v. Hamilton [1916] ScotLR 657 (20 June 1916)

The Court is entitled to impose conditions on discharge, including assignation of part of future earnings, where circumstances warrant; in this case, the sum of £100 per annum out of a £500 salary is reasonable and agreed upon, and the objection by a single creditor is sufficient to justify the condition.

Citation: [1916] ScotLR 657
Parties: Applicant: John Hamilton; Objector/appellant: James Caldwell
Jurisdiction: Scotland
Judgment Date: 20 June 1916
Procedural Posture: Bankruptcy Discharge Application / Appeal From Sheriff Court Decision
Outcome: Appeal allowed in part; discharge granted subject to condition.
Legal Topics: Sequestration, Discharge of Bankrupt, Assignment of Earnings, Beneficium Competentiæ

Bankruptcy Insolvency Sequestration Discharge of Bankrupt Assignment of Earnings Beneficium Competentiæ

Case Brief

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Full judgment text Downloadable case file Legal principles 2 Authorities cited 12 Party arguments 2 Amounts and remedies 5

Parties

John Hamilton

Applicant

James Caldwell

Objector/appellant

Procedural Posture

Bankruptcy Discharge Application / Appeal From Sheriff Court Decision

Legal Issues

1 Whether a bankrupt's discharge can be made conditional on assigning part of future earnings to creditors
2 Whether objections by a single secured creditor are sufficient to impose conditions on discharge

Ratio Decidendi

Court Disposition

Appeal allowed in part; discharge granted subject to condition.

Orders

Recall interlocutor of Sheriff-Substitute in so far as it repels objections and finds objector liable in expenses.
As condition of discharge, bankrupt to pay £100 per annum out of salary (or excess above £400 if salary falls below £500) for creditors.