What Are My Duties In Bankruptcy?

All parties to bankruptcy have certain duties and responsibilities under the Bankruptcy and Insolvency Act (BIA). You are required to actively participate in your bankruptcy to enable the Trustee in Bankruptcy to properly administer your bankruptcy estate and deal with all of the relevant issues.

The following is a breakdown of the duties of the bankrupt person:

1. Make full and complete disclosure of:

• All assets owned or controlled at the date of bankruptcy or that may become owned or controlled before discharge. This includes assets that are pledged as collateral or security for any loan.

• All debts owed to or from any party, including related parties.

• All assets sold, disposed of, transferred, pledged as security, or given away at any time during the five years prior to your bankruptcy.

• All payments, except regular monthly payments, made to any creditor within 12 months prior to bankruptcy.

2. Provide the Trustee with all books and records related to property/assets and transactions as may be required by the Trustee.

3. Deliver all credit cards to the Trustee unless they have previously been destroyed or returned to the credit card issuer.

4. Attend meetings of creditors, meetings requested by the Trustee, an examination under oath, or mediation, if required.

5. Assist in making an inventory, if required by the Trustee.

6. Assist the Trustee in the realization of property/assets.

7. Assist the Trustee with the review and verification of any claims filed.

8. Generally, assist the Trustee.

9. Keep the Trustee informed of changes in mailing address, telephone number and email address for 12 months after discharge.

10. Not obtain credit, of more than $1,000, without disclosing to the other party that you are an undischarged bankrupt.

Powell Associates Ltd. is a Licensed Insolvency Trustee. We are experienced, hands-on insolvency practitioners who understand the personal impacts of significant financial stress;

• You won’t be stuck in an assembly line process.

• You will expect and receive prompt responses and resolution of issues from our supportive and experienced team.

• We will review your debt solution options, including filing a consumer proposal or personal bankruptcy.

• We help Canadians with overwhelming debt get fresh financial starts.

Once you file a consumer proposal or personal bankruptcy, we deal directly with your creditors on your behalf. Your unsecured creditors are required to stop contacting you or continuing legal proceedings against you. Contact us for a free consultation.

We offer free consultations to review your financial situation and practical debt resolution options. Contact us to discuss your situation over the phone, a video chat, or in-person in Saint John, Moncton, Fredericton, Charlottetown, Dartmouth, or Miramichi.