Can I incorporate even though I am paying off my Consumer Proposal?

April 16th, 2014 by Questions

Can I incorporate even though I am paying off my Consumer Proposal? Please see below: ONCA
Limitation
(2) An individual cannot incorporate a corporation if he or she,
(a) is under 18 years old;
(b) has been found under the Substitute Decisions Act, 1992 or the Mental Health Act to be incapable of managing property;
(c) has been found to be incapable by any court in Canada or elsewhere; or
(d) has the status of bankrupt. 2010, c. 15, s. 7 (2).

Posted from: Ontario

Questions

One Response to “Can I incorporate even though I am paying off my Consumer Proposal?”



, Doug Stuive, CA | Trustee | CIRP said:

Consumer Proposals are legislated through the Bankruptcy and Insolvency Act (BIA) but are not bankruptcies. Neither the ONCA nor the BIA precludes you from incorporating a business during your consumer proposal. Should you wish to incorporate the business federally, The Canada Business Corporations Act has similar criteria to the ONCA and that would also not be a problem.

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