I am still being harrassed by DLA for a £25,000 shortfall which they, so far, have not substantiated with any strict proof but my question is this: If the house was purchased under scottish law and the property is in Scotland does the 5 year rule apply to me even though I now live in England?

If anyone has any information on this I would be extremely grateful.

-- Jo Berry (foxwood60@aol.com), January 12, 2001

Answers

Jo,

I've been trying to find this out for you, and my understanding is that whereas in England & Wales the Limitations Act states that a person can be pursued for up to 6 years for simple debt and 12 years for specialty debt, in Scotland it is 5 years and 20 years.

Will someone please jump in and answer the main part of Jo's question - which law applies? Presumably Scottish? But wouldn't she have to be summonsed to a court near where she lives in England?

Jo - another question is whether or not your shortfall is simple or specialty debt. You need to see your mortgage deed to be sure.

But your lender probably won't show you this. Ask yourself why.

Don't forget the main issue - did your lender undervalue, or undersell, or under-market your repossessed property?

-- Eleanor Scott (eleanor.scott@btinternet.com), January 12, 2001.