Mediation Agreement Query

[kjun]

So friend has a mediation agreement in place with a creditor which was reached via court service mediation so claim did not progress to hearing or judgment.

 

They are having trouble with the payments due to recent ill health however creditor won't agree to reducing these.

 

I know if it was a CCJ it could be varied by application but must admit I have no idea if this can be done under the current arrangement...

 

Any advice most welcome

[Ford]

if the terms of the agreement cant be kept, and they wont engage again, then it may have to be cancelled. there may be costs implications depending on the circumstances.

if its cancelled/terminated/not adhered to, then it (the litigation) may proceed as normal otherwise. depends on any terms re cancellation agreed?

[kjun]

Those were my thoughts, in effect the same as a Tomlin Order, so in theory the creditor could apply for the stay placed on the case be lifted then judgment entered should the agreed payments not be maintained and as there is no judgment currently then no application can be made to vary until there is one

[dx100uk]

What's the debt all about?

Was it checked to be legally enforceable?

 

Dx

[Ford]

Those were my thoughts, in effect the same as a Tomlin Order, so in theory the creditor could apply for the stay placed on the case be lifted then judgment entered should the agreed payments not be maintained and as there is no judgment currently then no application can be made to vary until there is one

 

it would then be up to the claimant to decide what to do. as you say, apply to lift (maybe no auto ccj), or negotiate again.

an option for friend could be a formal Time Order upon application (and fee if no fee remission), if negotiation/agreement fails?

need to know the round history/circs really.

[kjun]

Yeah was legally enforceable DX was a Vanquis credit card from 2011 and CCA etc was provided prior to mediation

[Ford]

ps your post #3, a ccj may not be automatic. depends what was agreed, and is not a tom order you say?

[kjun]

Yep get all that however if the stay on the case was lifted the Defence filed that lead to mediation will fail even at hearing so a judgment would be the next step after a hearing of course.

 

 

All of this would incur further fruitless costs.

 

 

I just don't think there is a way to vary these payments without incurring judgment one way or another but am very open to suggestions

[Ford]

Yep get all that however if the stay on the case was lifted the Defence filed that lead to mediation will fail even at hearing so a judgment would be the next step after a hearing of course.

 

 

All of this would incur further fruitless costs.

 

 

I just don't think there is a way to vary these payments without incurring judgment one way or another but am very open to suggestions

 

yes, if theres no real defence. is it small claims, re limited costs?

 

i mentioned a Time Order, if suitable?