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High Court orders debtor to draw down personal pensions
United Kingdom | Publication | August 2022
In Lindsay v O’Loughnane [2022], the High Court granted an order requiring a judgment debtor to draw down the entirety of his three personal pensions on reaching age 55 in order to satisfy his debt to the claimant.
In 2010, the debtor had been ordered to pay the claimant £565,000 plus interest and costs. Some of this had been paid but a significant amount remained outstanding.
The Court found that it was just and equitable to make an order in respect of the entire pension funds if the defendant was able to access them at age 55, albeit subject to tax apart from the tax-free lump sum of 25 per cent. The starting presumption was that the Court should assist the judgment creditor to recover the debt due to him.
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