Bankruptcy Act Archives - Page 11 of 15

Can I operate a business while I am bankrupt?

Posted on February 16, 2014February 19, 2020 by Jordan Rumanek

Can I operate a business while I am bankrupt?

That depends on what type of business you are operating. If you are self-employed in Ontario and your business is a sole proprietorship, you can operate as usual. Any business-related debts in your bankruptcy are also personal debts, so suppliers that were included in your bankruptcy may be cautious about extending credit to you while in bankruptcy. You may need to re-negotiate payment terms with them.

If your business is a corporation in Ontario, you must first take steps to remove yourself as a director, as an undischarged bankrupt cannot be a director of a corporation in Ontario. Your suppliers would not necessarily be aware of your bankruptcy, but you should not sign personally for any credit, business or otherwise, while undischarged. Otherwise, you may run your business as usual.

If you like an evaluation please fill out the evaluation form. Contact Rumanek and Company or the Office of the Superintendent for more information.

What happens to my assets in Bankruptcy?

Posted on January 22, 2014April 20, 2016 by Jordan Rumanek

What happens to my assets in Bankruptcy?

Upon declaring bankruptcy assets ‘that are not exempt or otherwise secured to a lender ( eg. car loan, mortgage on house,etc.) vests to the Trustee. Other assets acquired during the period of bankruptcy, such as lottery winnings or inheritance from a deceased estate, also vests to the Trustee.

The law, however, provides that you may retain certain property, including personal effects, such as necessary clothes and household furniture; property used in earning income, provided the value of the property is less than an indexed amount; property used as a primary means of transportation, provided the value of the property is less than an indexed amount (i.e. car or motorbike); property held in trust for another person, such as a child’s bank account (Note that it is not enough that you consider the account to be for your children – the name on the account MUST have the words ‘in trust’ on it); life insurance and endowment insurance policies and proceeds thereof; retirement funds and pensions; compensation from damages due to personal injury for pain and suffering only are an exempt asset.

Moreover, if you are earning an income that is more than the value of a threshold amount, you are required to make regular income contributions of 50 cents after every tax dollar above the indexed amount.

Contact Rumanek & Company Ltd. for more information on bankruptcy and debt solutions. Or please fill out the free bankruptcy evaluation form. To learn more please visit our YouTube Channel. Rumanek & Company have been helping individuals and families overcome debt for more than 25 years.

I forgot to include a debt in my bankruptcy

Posted on December 27, 2013April 20, 2016 by Jordan Rumanek

I forgot to include a debt in my bankruptcy

If a debt is unintentionally omitted from a bankruptcy filing, there may be a need for the bankruptcy documents to be amended but only if the amount is substantial. There are several valid reasons why a creditor or debt may be unknown but the creditor should still be notified of the bankruptcy so that the creditor can file documents with the Trustee. The problem is if a creditor is intentionally omitted in order to mislead the other creditors, the Trustee or the court. By misleading the aforementioned parties a bankruptcy offence is committed and the Trustee must notify the court of this. In this scenario you will have to attend the court with the Trustee in order for you to get your discharge from the bankruptcy.

Bankruptcy and Insolvency Act (BIA)

Posted on November 5, 2013April 20, 2016 by Jordan Rumanek

Treatment of the Ontario Trillium Benefit under the Bankruptcy and Insolvency Act / Application de la Loi sur la faillite et l’insolvabilité à la Prestation Trillium de l’Ontario

The Office of the Superintendent of Bankruptcy (OSB) has published a position paper on the treatment of the Ontario Trillium Benefit (which will combine the Ontario Energy and Property Tax Credit, the Northern Ontario Energy Credit and the Ontario Sales Tax Credit) under the Bankruptcy and Insolvency Act.

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Le Bureau du surintendant des faillites (BSF) a publié un exposé de position concernant l’application de la Loi sur la faillite et l’insolvabilité à la Prestation Trillium de l’Ontario (qui réunit le crédit d’impôt de l’Ontario pour les coûts d’énergie et les impôts fonciers, le crédit pour les coûts d’énergie dans le Nord de l’Ontario et le crédit de taxe de vente de l’Ontario).

Tag: Bankruptcy Act

Can I operate a business while I am bankrupt?

Can I operate a business while I am bankrupt?

What happens to my assets in Bankruptcy?

What happens to my assets in Bankruptcy?

I forgot to include a debt in my bankruptcy

I forgot to include a debt in my bankruptcy

Bankruptcy and Insolvency Act (BIA)

Treatment of the Ontario Trillium Benefit under the Bankruptcy and Insolvency Act / Application de la Loi sur la faillite et l’insolvabilité à la Prestation Trillium de l’Ontario

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Can I operate a business while I am bankrupt?

What happens to my assets in Bankruptcy?