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'''NOTE:''' If a client faces a civil lawsuit for a welfare overpayment resulting from failure to provide complete or accurate information, refer him or her to a lawyer at the Community Legal Assistance Society. | '''NOTE:''' If a client faces a civil lawsuit for a welfare overpayment resulting from failure to provide complete or accurate information, refer him or her to a lawyer at the Community Legal Assistance Society. | ||
== B. Repayment Agreements == | == B. Repayment Agreements and notifications of other Overpayments == | ||
MSDSI often asks people suspected of having received a welfare overpayment to sign a repayment agreement acknowledging the alleged debt. Before signing a repayment agreement, clients should ask to review MSDSI’s evidence and its reasons for the determination that there is an overpayment and, if possible, get legal advice or help from an advocate. MSDSI can often make errors in its overpayment determinations. | MSDSI often asks people suspected of having received a welfare overpayment to sign a repayment agreement acknowledging the alleged debt. Before signing a repayment agreement, clients should ask to review MSDSI’s evidence and its reasons for the determination that there is an overpayment and, if possible, get legal advice or help from an advocate. MSDSI can often make errors in its overpayment determinations. See MSDSI's policy on recoveries and overpayments at http://www2.gov.bc.ca/gov/content/governments/policies-for-government/bcea-policy-and-procedure-manual/compliance-and-debt-management/recoveries | ||
In many situations, it is advisable to '''not''' sign an acknowledgment. However, if the client does choose to sign an acknowledgment and repay the overpayment, repayment schedules can be negotiated for as low as $10 each month. The MSDSI is not presently charging interest on repayments. | In many situations, it is advisable to '''not''' sign an acknowledgment. However, if the client does choose to sign an acknowledgment and repay the overpayment, repayment schedules can be negotiated for as low as $10 each month. The MSDSI is not presently charging interest on repayments. | ||
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== C. Appealing an Overpayment Decision == | == C. Appealing an Overpayment Decision == | ||
A welfare recipient can appeal a decision by MSDSI that he or she owes an overpayment. However, MSDSI’s decision about the amount of a person’s overpayment is not open to appeal (EAA, s 27(2) and EAPWDA, s 18(2)), although a person can apply for a reconsideration of the amount of an overpayment (for more on reconsiderations, see [[Welfare_and_Health_Supplements_(21:IX) | section IX]] below). | A welfare recipient can appeal a decision by MSDSI that he or she owes an overpayment. However, MSDSI’s decision about the '''amount''' of a person’s overpayment is '''not open to appeal''' (EAA, s 27(2) and EAPWDA, s 18(2)), although a person can apply for a reconsideration of the amount of an overpayment (for more on reconsiderations, see [[Welfare_and_Health_Supplements_(21:IX) | section IX]] below). | ||
In ''Newfoundland (Social Services Appeal Board) v Butler'', [1996] NJ No 91, the court held that the Ministry could not recover the monies paid out to Ms. Butler by mistake. Ms. Butler successfully used the defence of change of circumstance. The court held that because Ms. Butler had made expenditures that she would not otherwise have made without the overpayment, it would be unjust to force her to pay the Ministry back. Therefore, it may be that in similar situations, recipients of overpayments will not be obligated to repay social assistance for monies paid under a mistake of fact. Please note that in this case, Ms. Butler reported the income to the Ministry and the Ministry erred in not deducting it. | In ''Newfoundland (Social Services Appeal Board) v Butler'', [1996] NJ No 91, the court held that the Ministry could not recover the monies paid out to Ms. Butler by mistake. Ms. Butler successfully used the defence of change of circumstance. The court held that because Ms. Butler had made expenditures that she would not otherwise have made without the overpayment, it would be unjust to force her to pay the Ministry back. Therefore, it may be that in similar situations, recipients of overpayments will not be obligated to repay social assistance for monies paid under a mistake of fact. Please note that in this case, Ms. Butler reported the income to the Ministry and the Ministry erred in not deducting it. |
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