In force2020 Revised Edition

Contents

Insolvency, Restructuring and Dissolution Act 2018 · 2020 Revised Edition · Part 17 · Administration in Bankruptcy

341. Power of Court to vary monthly contribution and target contribution

(1)

Where the Court is satisfied, on the application of the Official Assignee or the trustee in bankruptcy, a bankrupt or any creditor of the bankrupt, that any of the conditions described in subsection (2) apply, the Court may make such order as it thinks fit to vary the bankrupt’s monthly contribution and target contribution.

(2)

The conditions mentioned in subsection (1) are as follows:

(a)

before the determination of the monthly contribution and target contribution under section 339 was made, the bankrupt concealed from, or failed to disclose to, the Official Assignee or trustee in bankruptcy (as the case may be) information which the bankrupt knows or ought reasonably to know would have a material impact on the determination;

(b)

information which would have a material impact on the determination of the bankrupt’s monthly contribution and target contribution under section 339 —

(i)

was not available to the bankrupt before the making of that determination; and

(ii)

is now available;

(c)

it is otherwise just and equitable to vary the monthly contribution and target contribution determined under section 339.

(3)

An application under subsection (1) must be served, within 3 days after the date of filing, on —

(a)

the Official Assignee, or the trustee in bankruptcy, whose determination under section 339 is the subject of the application, unless the application was made by the Official Assignee or the trustee, as the case may be; and

(b)

the bankrupt, unless the application was made by the bankrupt.

(4)

Upon —

(a)

the filing of an application under subsection (1) by the Official Assignee or trustee in bankruptcy; or

(b)

being served with an application under subsection (3)(a), where the application is not filed by the Official Assignee or trustee in bankruptcy,the Official Assignee or trustee in bankruptcy (as the case may be) must forthwith give notice of the application to every person on whom the notice of the determination was served under section 339(1)(b)(ii) and (iii) and (3) (except, where the application was made by a creditor, that creditor).

(5)

Unless the Court orders otherwise, a variation under subsection (1) of the monthly contribution and target contribution takes effect on the date of the order.

(6)

A variation of the monthly contribution and target contribution made under subsection (1) does not affect any payments made by the bankrupt in respect of the monthly contribution or target contribution prior to the date of the variation.

(7)

The Official Assignee must, within 14 days after the variation of the monthly contribution and target contribution under subsection (1), serve a notice of the variation order on —

(a)

the bankrupt;

(b)

every creditor who has filed a proof of debt; and

(c)

in a case where the variation is made before the expiry of the period mentioned in section 347(2), every creditor who is mentioned in the statement of the bankrupt’s affairs but who has not filed a proof of debt.

Terms defined in this Act

bankrupt
Defined · s 2
“bankrupt” means —(a)an individual debtor who has been adjudged bankrupt by a bankruptcy order; or(b)where a bankruptcy order has been made against a firm, each of the partners in the firm;
Open s 2
Court
Defined · s 2
“Court” means the General Division of the High Court;
Open s 2
creditor
Defined · s 273
“creditor”, in relation to a debtor proposing a voluntary arrangement under Part 14, means a creditor to whom the debtor owes a debt provable in bankruptcy;
Open s 273
debt
Defined · s 288
“debt” means any debt, or any liability to pay money, that is unsecured, present, certain, and of an amount that is fixed or liquidated;
Open s 288
monthly contribution
Defined · s 273
“monthly contribution” means —(a)the amount, determined in accordance with section 339, that a bankrupt is required, under section 371, to pay to the Official Assignee on a monthly basis out of the bankrupt’s income; or(b)if the amount mentioned in paragraph (a) is varied by the Court under section 340(5)(a), 341(1) or 343(4)(a) or reduced by the Official Assignee under section 342(1) or 344(3), that amount as varied or reduced, as the case may be;
Open s 273
Official Assignee
Defined · s 2
“Official Assignee” means the Official Assignee appointed under section 16(1) and includes a Deputy Official Assignee, a Senior Assistant Official Assignee and an Assistant Official Assignee;
Open s 2
target contribution
Defined · s 273
“target contribution” means —(a)an amount equal to —(i)in any case where the bankruptcy is a repeat bankruptcy, 76 payments of monthly contributions determined in accordance with section 339; or(ii)in any other case, 52 payments of monthly contributions determined in accordance with section 339; or(b)if the amount referred to in paragraph (a) is varied by the Court under section 340(5)(a), 341(1) or 343(4)(a) or reduced by the Official Assignee under section 342(1) or 344(3), that amount as varied or reduced, as the case may be.
Open s 273
trustee
Defined · s 2
“trustee”, in relation to a bankruptcy and a bankrupt, means the trustee of the bankrupt’s estate and includes the Official Assignee when acting as trustee of the bankrupt’s estate;
Open s 2
trustee in bankruptcy
Defined · s 2
“trustee in bankruptcy” means a person appointed under section 36 as trustee of a bankrupt’s estate.
Open s 2