Free Consultation

What court orders survives bankruptcy?

I reside inthe province of Alberta and am currently looking at possibly filing for bankruptcy, I have a judgement in Queens Bench for Certificate of Taxation on lawyers fees that i am unable to pay. Do these survive the bankruptcy or are they included in the filing.

Drowning in worry

One Response to “What court orders survives bankruptcy?”

Barton Goth, GCO, Bankruptcy Trustees said...

Essentially the important section of the Bankruptcy and Insolvency Act is 178(1)(a) and essentially this section states that court fines, penalties and/or restitution orders for criminal or quasi criminal acts will survive a bankruptcy. From the sounds of things the order you have is simply a judgment creditor who retains no special rights and will be cleared by filing either a bankruptcy or proposal in Canada.

However, when dealing with debts of this type it would be important to have any documentation relating to this reviewed by a local trustee just to confirm this.