One of the standout points from the case is that the consumer (1) refused to pay the original calculated amount which would cover all their debts in a reasonable time frame and asked for a further reduction (2) missed payments towards his credit providers during the debt review and (3) did not cooperate with the Debt Counsellor (and attorney) in sending them needed documents for the court process.
What is however interesting is that the Tribunal mentioned that the consumer had acted in good faith in the process.
 ‘it has long been accepted that if a consumer does not pay towards their debts…they are not acting in good faith’Â
Traditionally, it has long been accepted that if a consumer does not pay towards their debts or Debt Counsellor or if they refuse to provided needed documents they are not acting in good faith and a Debt Counsellor may withdraw from assisting the consumer.
The ruling has left many Debt Counsellors concerned about consumers who may sue them in civil court even if they do not make the required debt review payments.
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Check out the article in this month’s issue of Debtfree Magazine to find out more.
