Appendix 3: Statement of Undertaking and Statement of Truth
When making an application for a Minimal Asset Process or a Full Administration Bankruptcy, the client must sign a Statement of Undertaking and a Statement of Truth to confirm they have understood the process and their legal obiligations.
The client and adviser may complete the Statement of Truth, Statement of Undertaking and Certificate for Sequestration electronically as long as an averring statement is provided by the client. This statement must include the clients full name, address and date of birth as well as a short statement giving the adviser authorisation to submit an application on their behalf.
Statement of Undertaking
A statement of undertakings confirms the following:
I confirm that:
1. I have received money advice from the money adviser detailed in the money advice declaration section of this form. I agree to them acting on my behalf throughout the bankruptcy application process.
2. I have made a full disclosure of all assets which I owned or in which I had an interest in on my bankruptcy application date.
3. I will notify my trustee if I inherit, win or otherwise acquire any further assets during the period of 4 years after my bankruptcy award date.
4. I will immediately inform my trustee of any change of address or change in my financial circumstances during the period of 4 years after the date of bankruptcy.
5. I understand that I have a legal obligation to co-operate with my trustee and to provide any financial information or documents which may be required.
6. I understand that until I am discharged I may not, either alone or jointly with another person, obtain credit (which includes where goods are hired to me under a hire purchase agreement or agreed to be sold to me under a conditional sale agreement) either: (a) of £2000 or more; or (b) of any amount, where, at the time of obtaining credit, I have debts amounting to £1000 or more without informing the person from whom I obtain it of my bankruptcy
7. I understand that, until I am discharged I am subject to certain restrictions on the appointments I may take up or offices I may hold, including that I may not be a member of parliament or a justice of the peace.
8. I understand that until I am discharged I may not act as a director of a limited company or be involved directly or indirectly in the promotion, formation or management of a limited company without the leave of the court.
9. I understand that after 12 months from my bankruptcy award date (or normally after 6 months for Minimal Asset Process (MAP) cases) the Accountant in Bankruptcy may discharge me and that my discharge may be dependent on my compliance with this statement of undertakings.
10. I understand that I may be required by my trustee to undergo financial education and that my discharge may be dependent on completion of this financial education.
11. I understand that any assets which vested in my trustee on my bankruptcy award date, and which have not been sold, realised or ingathered by my trustee, will continue to vest in my trustee notwithstanding my discharge.
12. I understand that any assets which were acquired by me during the period of 4 years after my bankruptcy award date and which would have vested in my trustee if they had been part of my estate on my bankruptcy award date will vest in my trustee and that any such assets which have not been sold, realised or ingathered by my trustee, will continue to vest in my trustee notwithstanding my discharge.
13. I understand that if my bankruptcy is converted from MAP to Full Administration my discharge may not be granted until the total Full Administration bankruptcy application fee is paid. Statement of Undertakings
14. I understand that my circumstances will be assessed for the purpose of a client contribution order and that my discharge may be dependent on compliance with that order. I understand that my on-going liabilities, e.g. utility payments, may not be included in the sequestration and I may still have a duty to pay them.
The Statement of Truth
I, ___________________________________(insert name) agree to be made bankrupt, if I meet the bankruptcy criteria as defined in the Bankruptcy (Scotland) Act 2016, and certify that the information I have supplied in this application form is true, complete and accurate to the best of my knowledge and belief.
I understand that by becoming bankrupt, I may be required to make regular contributions from my income if I am financially able to do so and that my assets may be sold to repay my debts.
I have read and understood the warning below. Note for completion – If you are signing as executor, or entitled to be appointed as executor, on the estate of a deceased client, you are agreeing and certifying in relation to the estate of the deceased client being made bankrupt.
In relation to the warning below, the reference to bankruptcy restrictions does not apply. Signature _______________________________________ Date _______________________________________