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JGM, Solicitor
Category: Scots Law
Satisfied Customers: 9904
Experience:  30 years as a practising solicitor.
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Personal Injury Settlement and LILA route in Scotland

Customer Question

Personal Injury Settlement and LILA in Scotland-


I won a personal injury claim while sequestrated (i'm discharged now) but i'm not sure if i'm entitled to it or now. I suffered a serious car accident with my child in the car and its becoming more complicated having found out that i won't get my share .. Its not due to loss of earnings,its purely as a result of personal injury.


Secondly, i found out yesterday that as a single parent and having been declared bankrupt before (underwent LILA route on December 2011 and discharged on December 2012), my solicitor sent a letter to the organisation that deals with keeping children't funds in trust until she is 18, this is extreme ,is it not?i made mistakes, bad financial mistakes in the past and i have learnt from it.Why am i being penalised now??


I assumed that her cheque would be sent straight to me and i could put in HER bank account.


Am i chasing a ghost here? or am i being led down by my trustee please?


Thanks in advance


Submitted: 3 years ago.
Category: Scots Law
Expert:  JGM replied 3 years ago.
Thank you for your question.

1. Your first question is one which has been considered by the courts over a period of many years. However the most recent case, called Coutt's Trustee v Coutts in 1998 states that a claim for solatium (personal injury) which was not the subject of litigation or assignation did not vest in the trustee. It remains personal to the claimant.

However, if yours was a trust deed you will have to check the terms of the trust deed to see if you have assigned the award to the trustee. If the sequestration was through the court then this won't apply.

2. As far as the damages for you daughter are concerned the solicitor has acted correctly in paying the money to the Accountant of Court whilst she is of nonage.

I hope this helps. Please leave a positive response so that I am credited for my time.
Customer: replied 3 years ago.


Mine was via LILA route...You apply for sequestration and the documents are sent off.You don't get to appear in court at all.I was discharged in December 2012.


One can only apply via LILA route if you have no savings or assets.


My personal injury claim was not part of my sequestration.



Expert:  JGM replied 3 years ago.
That's fine then, the award of damages was never assigned, and as it was all for personal injury, the trustee has no claim.
Customer: replied 3 years ago.

What about my child's case please?can they put her funds in trust even after i have been discharged please?


Lastly, how do i proceed with request to get my personal injury compensation be sent back to me please?I have sent my trustee an email kindly asking her to reconsider her decision based on the fact that the claim that i made was as a result of personal injury and nothing else.


Obviously, she has experience as a trustee but sometimes, we all make mistakes and if at the time, she was very adamant that my share had to go to her (the solicitor acting on my behalf sent her my cheque ysterday).


If the case is pending .i.e if i'm refuting her decision, she can't go ahead and cash it until the matter is resolved,can she?


I'm just trying to view all angles here without stepping on anyone's toes.


Even though i have carried out an extensive research about personal injury while sequestrated and i found out that her decision was wrong, i wanted an expert's opinion on what i already knew.

Expert:  JGM replied 3 years ago.
You cannot challenge the decision as regards your daughter.

As regards the compensation, you should complain to the complaints department of the Accountant in Bankruptcy. See

You may also want to complain about your solicitor making the payment in the first place. The law on this is not clear at all and there are conflicting authorities but I am glad my own opinion coincides with your research.

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