Compensation for Maladministration
Many people who have suffered actual financial loss contact Durham Legal Services requesting our help with the recovery of monies due from the CSA. In order to assist you, this section looks at instances of maladministration which could mean a compensation payment would be considered.
Delay in reviewing maintenance liability has led to an overpayment of maintenance by the NRP
Delay in reviewing a maintenance assessment or calculation, where the NRP continues paying at the rate of the existing assessment, will often lead to the NRP either overpaying or underpaying child support maintenance. This was envisaged in legislation and Parliament provided options for handling such situations.Where such an over/underpayment occurs, the situation is usually corrected by adjusting future payments of maintenance under regulation 10 of the Arrears, Interest and Adjustment of Maintenance Regulations 1992. This allows the NRP to either make good any underpayment or recoup any overpayment over a period of time.
However, where any overpayment is large and any revised maintenance liability is too low to effectively allow the NRP to recoup their overpayment in a realistic period of time, the NRP may be reimbursed by the amount overpaid under section 41B of the Child Support Act 1991. Such payments, being covered by legislation, are not special payments.
However, if the refund covers a period prior to 4 September 1995, then this predates the legislation. A payment can still be made but in this case it is on an extra-statutory basis and should be recorded as such.
Where either a statutory or extra-statutory payment as described above is made, it is appropriate to consider an interest payment for delay to redress the client's loss of use of the money. These interest payments for delay are classed as ex gratia special payments.
Should you require any additional information on compensation and the amount you would be entitled to, please feel free to purchase an advice voucher and speak to one of our compensation specialists.
