Source: All England Reporter
Publisher Citation: [2016] All ER (D) 50 (Oct)
Neutral Citation: [2016] EWCA Civ 989
Court: Court of Appeal, Civil Division
Judge:

McFarlane, Gloster LJJ and Sir Stanley Burton

Representation Stephen Davies QC and Simon Passfield (instructed by Edwin Coe LLP) for the trustee.
  Laurent Sykes QC (instructed under the Bar Direct Access Scheme) for the bankrupt.
Judgment Dates: 7 October 2016

Catchwords

Insolvency - Bankrupt's estate - Vesting in trustee - Pension rights - Respondent being adjudged bankrupt on his own petition - Assets of bankrupt including four pension policies - Appellant, appointed trustee in bankruptcy, applying for income payments order (IPO), requiring bankrupt to pay to trustee, in summary, sums arising under pension policies - Bankrupt being entitled to income under pension policies, but not exercising such rights - Judge dismissing trustee's application for IPO - Whether trustee being able to require bankrupt, who having reached age at which contractually entitled to draw down or 'crystalise' pension (but not doing so), to elect to do so, so that trustee might apply for IPO in relation to funds drawn, or to be drawn, down - , , - .

The Case

Insolvency Bankrupt's estate. The Court of Appeal, Civil Division, dismissed the trustee in bankruptcy's appeal, thus holding, that s333(1) of the read in conjunction with s310 of that Act, did not enable a trustee in bankruptcy to require a bankrupt, who had reached the age at which he was contractually entitled to draw down or 'crystallise' his pension (but had not done so), to elect to do so, so that the trustee might apply for an income payments order, under s310 of the Act, in relation to the funds drawn, or to be drawn, down. Since rights under registered personal pension schemes no longer formed part of the bankrupt's estate which vested in the trustee, in the absence of express statutory language conferring such a power, there was no basis for concluding that the court had power to require a bankrupt to exercise his options in any particular way.

Practice Areas

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