Trustee`s Decision

September 15th, 2009 by Questions

I have been reading several submissions whereby some trustee`s oppose discharge where there is excess surplus payments causing the bankrupt to pay for additional months while others don`t and an automatic discharge is granted. Why does this happen in some cases and not others? What can a bankrupt do other than abide by the responsibilities they have during the nine months of bankruptcy to ensure the discharge is not opposed by the Trustee. I read too that the rules will change come September 18th to add some definition and clarification to those choosing the bankruptcy route.

Posted from: Ontario

Questions

One Response to “Trustee`s Decision”



, A licensed trustee said:

You’ve hit on the priumary reason the Sep 18 rules are being brought into force. As of today, trustees have a certain amount of discretion as to when they extend someone’s bankruptcy due to surplus income. On the east coast it has meant the maximum 12 month extensiuon for some time – in Toronto files often weren’t extended.

The new rules automatically extend a bankruptcy for someone that has had to pay an average of $100/month in the first 6 months of their bankruptcy due to surplus income. In these cases the bankruptcy will run 21 months – income statments and payments will be required through out the entire period.

If you want avoid having your discharge opposed by your trustee then make certain you know what your responsibilities are BEFORE you file for bankruptcy – then of course complete your duties as requried.

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