consumer proposal in canada and us property
November 13th, 2009 by Questions
So, if I understand you correctly, even after a consumer proposal (wher a property in the US was taken into account) gets accepted, a non-Canadian creditor can still take it or demand a cash equivalent while Canadian creditors could not do this? Is this fair to all creditors?
Posted from: Ontario
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November 13, 2009 at 5:58 pm, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:
While you are in Canada they can’t take any action against you or any of your Canadian property. But the Canadian legislation can only protect you while in Canada, it does not have the authority to clear you from debts that are outside of Canada. So if you leave the country then you run the risk of the non-Canadian creditors seeking repayment or if you have property located outside of Canada it is at risk of being attacked by the non-Canadian creditor.
As to whether or not it is fair, we don’t have the ability to mandate what non-Canadian creditors can or can’t do, but we can ensure that all Canadian creditors are treated in a fair and reasonable fashion.