Section 118 of Insolvency Act CAP 53: Bankruptcy trustee may disclaim onerous property
(1) The bankruptcy trustee may disclaim onerous property, subject to section 121.
(2) Subsection (1) applies even if the bankruptcy trustee has taken possession of the property, tried to sell it, or otherwise exercised rights of ownership in relation to it.
(3) Within fourteen days after the disclaimer, the bankruptcy trustee shall send a notice of the disclaimer to every person whose rights are, to the bankruptcy trustee's knowledge, affected by it.
(4) Property is onerous for the purposes of this section if it is or comprises— (a) an unprofitable contract;
(b) property of the bankrupt that is unsaleable, or not readily saleable, or that may give rise to a liability to pay money or perform an onerous act; or
(c) a litigation right that, in the opinion of the bankruptcy trustee, has no reasonable prospect of success or cannot reasonably be funded from the assets of the bankrupt's estate.
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- Section 119 - Effect of disclaimer
A disclaimer by the bankruptcy trustee—
(a) terminates, on and from the date of the disclaimer, the rights, interests, and liabilities of the bankruptcy trustee and the bankrupt in relation to the...
- Section 120 - Position of person who suffers loss as result of disclaimer
(1) A person who sustains loss or damage as a result of disclaimer by the bankruptcy trustee may—
(a) claim as a creditor in the bankruptcy for the amount of the loss or damage, taking account of the...
- Section 121 - Bankruptcy trustee may be required to elect whether to disclaim
The bankruptcy trustee loses the right to disclaim onerous property if—
(a) a person whose rights would be affected by the disclaimer has sent the bankruptcy trustee a notice requiring the bankruptcy...
- Section 122 - Liability for rentcharge on bankrupt's land after disclaimer
(1) If land disclaimed by the bankruptcy trustee is subject to a rentcharge, the vesting of that land in any other person (including the State), or the person's successors in title, does not make any...
- Section 123 - Transmission of interest in land
(1) This section applies to an interest in land that—
(a) is owned by the bankrupt;
(b) is subject to a mortgage or a charge; and
(c) is not disclaimed by the bankruptcy trustee.
(2) The...
- Section 124 - Bankruptcy trustee cannot claim interest in land if bankrupt remains in possession until discharge
(1) The bankruptcy trustee cannot, after the bankrupt's discharge, claim an interest in land to which section 123(1) applies and for which the bankruptcy trustee has not registered a transmission if...
- Section 125 - Bankruptcy trustee may transfer shares and other securities
(1) The bankruptcy trustee may transfer the following property belonging to the bankrupt in the same way as the bankrupt could have transferred it but for the bankruptcy—
(a) securities of a...
- Section 126 - Bankruptcy trustee may disclaim liability under shares
A bankruptcy trustee may disclaim any liability under shares owned by the bankrupt in any company by disclaiming the shares as onerous property under section 118, but sections 120 and section 121 do...
- Section 127 - Bankruptcy trustee may disclaim liability under shares
(1) The bankruptcy trustee may disclaim a liability under shares owned by the bankrupt in a company by disclaiming them as onerous property in accordance with section 118.
(2) Neither section 120 nor...
- Section 128 - Bankruptcy trustee may be required to elect whether to disclaim liability under shares
The bankruptcy trustee loses the right to disclaim liability under shares if—
(a) the company or a person who has an interest in the shares has sent the bankruptcy trustee a notice requiring that...
- Section 129 - Transfer of shares after disclaimer
(1) After disclaimer, the bankruptcy trustee may, subject to any other written law and to the company's constitution, transfer the relevant shares to any person who has an interest in them.
(2) If...
- Section 130 - Company may prove for unpaid calls
(1) This section applies if the bankruptcy trustee has disclaimed liability under shares and the company is not in liquidation.
(2) The company may prove in the bankruptcy for—
(a) the amount of...
- Section 131 - Interpretation: Division 11
In this Division—
"cash price", in relation to a sale of goods, means—
(a) the lowest price at which a person could have bought those goods from the creditor on the basis of payment in full at the...
- Section 132 - Restrictions on creditor dealing with goods
(1) If a bankrupt acquired goods under a credit purchase transaction before the bankruptcy commenced and the creditor either—
(a) took possession of the goods within the twenty-one days immediately...
- Section 133 - Bankruptcy trustee's powers in relation to goods that are subject to a credit purchase transaction
(1) In the case of goods to which section 131 applies, the bankruptcy trustee may—
(a) within the thirty-day period referred to in that section, exercise any right conferred by any relevant written...
- Section 134 - Creditor in possession of goods may prove in bankruptcy if bankruptcy trustee has not exercised powers
(1) A creditor may prove in a bankruptcy for the amount (not exceeding that limited by any relevant written law) that the creditor was entitled to recover from the bankrupt as a debtor if—
(a) the...
- Section 135 - Creditor may assign goods to bankruptcy trustee
If—
(a) the bankrupt purchased goods under a credit purchase transaction before the time the bankruptcy commenced; and
(b) at that time the creditor either—
(i) has not taken possession of the...
- Section 136 - Status of bankrupt's property on second bankruptcy
(1) This section applies to and in respect of a bankrupt who, before discharge, is adjudged bankrupt for a second time.
(2) Property that is acquired by, or has passed to, the bankrupt since the...
- Section 137 - Effect of notice to bankruptcy trustee of application for bankruptcy
(1) This section applies if the bankruptcy trustee in respect of a bankrupt's estate receives notice that a creditor has lodged an application for another bankruptcy.
(2) The bankruptcy trustee shall...
- Section 138 - Separate accounts to be kept for each bankrupt
If two or more persons are adjudged bankrupt jointly, the bankruptcy trustee shall keep distinct accounts in respect of—
(a) the joint estate; and
(b) the separate estate of each bankrupt.
- Section 139 - How joint and separate estates are to be applied
(1) When two or more persons have been adjudged bankrupt jointly, the bankruptcy trustee shall first apply—
(a) the joint estate to the debts due by the bankrupts jointly; and
(b) the separate...
- Section 140 - General duty of bankrupt
(1) A bankrupt shall, to the best of the bankrupt's ability, assist in the realisation of the bankrupt's property and the distribution of the proceeds among the creditors.
(2) The duty imposed by...
- Section 141 - Bankrupt to disclose property acquired before discharge
(1) As soon as practicable after acquisition, the bankrupt shall notify the bankruptcy trustee of any property that—
(a) was acquired by, or passed to, the bankrupt before discharge; and (b) is...
- Section 142 - Bankrupt to deliver property to bankruptcy trustee on demand
(1) On demand by the bankruptcy trustee, the bankrupt shall deliver to the bankruptcy trustee, or to a person authorised by the bankruptcy trustee to receive it, all of the bankrupt's property that—...
- Section 143 - Court may impose charge on bankrupt's property
(1) If—
(a) any property consisting of an interest in a dwelling house that is occupied by the bankrupt or by the bankrupt's spouse or former spouse is comprised in the bankrupt's estate;...
- Section 144 - Bankrupt to give bankruptcy trustee accounting records and other documents
(1) As soon as practicable after being adjudged bankrupt, the bankrupt shall—
(a) deliver to the bankruptcy trustee relevant documents that are in the bankrupt's possession or control;...
- Section 145 - Bankrupt to give bankruptcy trustee information relating to property
A bankrupt shall—
(a) as soon as practicable after being adjudged bankrupt—
(i) give the bankruptcy trustee a complete and accurate list of the bankrupt's property and of the bankrupt's creditors...
- Section 146 - Bankrupt to give bankruptcy trustee information relating to income and expenditure
(1) Whenever the bankruptcy trustee requires it, the bankrupt shall provide the bankruptcy trustee with details of the bankrupt's income and expenditure since the bankruptcy commenced.
(2) A bankrupt...
- Section 147 - Bankrupt to notify bankruptcy trustee of change in personal information
(1) A bankrupt shall, within seven days after any change occurs in the bankrupt's name, address, employment or income, notify the bankruptcy trustee of the change.
(2) A bankrupt who, without...
- Section 148 - Bankrupt to give bankruptcy trustee financial information
(1) The bankrupt shall give the bankruptcy trustee (or any person employed by the bankruptcy trustee) the information and details that are necessary to prepare a financial statement that shows the...
- Section 148A - Principles of Data Protection
The principles of personal data protection set out in the Data Protection Act (Cap. 411C) shall apply with necessary modifications to the processing and handling, by the bankruptcy trustee, of the...
- Section 149 - Interpretation: Division 15
In this Division—
"building", in relation to a bankrupt, includes a reference to a part of a building in which the bankrupt holds a proprietorial interest;
"place" includes building, premises,...
- Section 150 - Bankrupt can be required to contribute to payment of debts
(1) If required by the bankruptcy trustee to do so, the bankrupt shall pay an amount or periodic amounts during the bankruptcy as a contribution towards payment of the bankrupt's debts.
(2) The...
- Section 151 - Onus of proof if bankrupt defaults in making payment
If a bankrupt fails to make a payment required under section 150, the onus is on the bankrupt in any proceedings arising out of the failure to show that the failure was not deliberate.
- Section 152 - Prohibition of bankrupt entering business
(1) An undischarged bankrupt shall not, without the consent of the bankruptcy trustee or the Court
(either directly or indirectly)—
(a) enter into, carry on, or take part in the management or...
- Section 153 - Warrant to search for and seize bankrupt's property
(1) The Court may issue a search warrant to the bankruptcy trustee or any other person if it reasonably believes that any relevant property is concealed in a specified place.
(2) The warrant may...
- Section 154 - Seizure of bankrupt's property
(1) If authorised by a warrant issued by the Court, the bankruptcy trustee or (if not the bankruptcy trustee) the Official Receiver, with such assistants as are considered necessary—
(a) may seize...
- Section 155 - Bankrupt to vacate land or buildings if required to do so
(1) The bankruptcy trustee may require the bankrupt and relatives of the bankrupt to vacate any land or building that is part of the property vested in the bankruptcy trustee under the...
- Section 156 - Bankrupt's right to inspect documents
A bankrupt is entitled at any reasonable time to inspect and to take copies of—
(a) the bankrupt's accounting records;
(b) the bankrupt's answers to questions put to the bankrupt in the course of an...
- Section 157 - Restrictions on bankrupt dealing with property
(1) After the bankruptcy commences, the bankrupt, and any person (other than the bankruptcy trustee) who claims through or under the bankrupt, ceases to be entitled—
(a) to recover property that is...
- Section 158 - Bankrupt prohibited from taking steps to defeat beneficial interests of others in bankrupt's property
(1) After the bankruptcy has commenced, the bankrupt may not execute a power of appointment, or any other power vested in the bankrupt, if the result would be to defeat or destroy any contingent or...
- Section 159 - Responsibility of bank to notify bankruptcy trustee of bankrupt's account
(1) As soon as practicable after becoming aware or formings reasonable suspicion that a customer is an undischarged bankrupt, a bank shall—
(a) notify the bankruptcy trustee of any account that the...
- Section 160 - Official Receiver entitled to require bank to search records relating to bankrupt's account
(1) The Official Receiver may, by notice, require a bank to search its account records by comparing the names of its customers with the names (including any aliases) of undischarged bankrupts...
- Section 161 - Bankrupt entitled to retain certain assets
(1) A bankrupt may choose and retain as the bankrupt's own property assets of a description specified in subsection (2) up to a maximum value determined in accordance with subsection (3).
(2) The...
- Section 162 - Bankrupt may retain certain assets with consent of creditors
A bankrupt may retain necessary tools of trade and necessary household furniture and effects that are worth more than the maximum value fixed in accordance with section 161, if the bankrupts'...
- Section 163 - Retention of assets not to affect rights under charge or credit purchase transaction
(1) Subject to subsection (2), the retention of an asset by the bankrupt under section 161 or 162 does not affect rights arising under a valid charge, bailment contract or credit purchase transaction...
- Section 164 - Retention provisions not to confer rights to other assets
The fact that the net value of the assets that the bankrupt retains is less than the maximum values specified in section 161 does not give the bankrupt any rights in relation to other assets in the...
- Section 165 - Relative or dependant entitled to exercise bankrupt's right to retain assets
If the bankrupt has died, a relative or dependant of the bankrupt, who has been approved for this purpose by the bankruptcy trustee or the Court, may exercise the right to retain assets under section...
- Section 166 - Bankruptcy trustee may make allowance to bankrupt
The bankruptcy trustee may make an allowance out of the property of the bankrupt to the bankrupt, or to any relative or dependant of the bankrupt, for the support of the bankrupt and the bankrupt's...
- Section 167 - Bankruptcy trustee may allow bankrupt to retain money
(1) The bankruptcy trustee may allow the bankrupt to retain, for the immediate maintenance of the bankrupt and the bankrupt's relatives and dependants, money up to the prescribed limit that the...