Tag - Bankruptcy

March 2018

Consequences ex-spouse declares bankruptcy

Your ex-spouse is declaring bankruptcy? Here’s how it affects you.

A separation is an incredibly difficult period for everyone, not only emotionally, but also financially. Finding yourself alone to deal with day-to-day responsibilities and daily payments can be an enormous challenge to overcome. What happens when your ex-spouse declares bankruptcy after your separation? How does this impact your finances? (more…)

February 2018

Disposition of assets

Disposition of assets in a bankruptcy, a proposal (Division I), or a notice of intent

The Act goes into some detail about how various interested people may dispose of property, depending on the context. These people are the Licensed Insolvency Trustee (LIT) in cases of bankruptcy and the debtor in cases of proposals (including the intent). Issues differ from one situation to another. (more…)

Differences between bankruptcy and consumer proposal

The difference between bankruptcy and consumer proposals

Your debts can cause a lot of stress and may seem insurmountable to you. Don’t let your uncertainties prevent you from considering using a consumer proposal or declaring bankruptcy to resolve your financial difficulties. Although less common among consumers, they are two simple solutions to repay your debts and free you from your obligations towards your creditors. (more…)

May 2017

How to deal with collection agencies

Do you know what to do if a collection agency contacts you?

Collection agencies can be intimidating. Incessant calls can become frustrating, stressful, and exhausting. Sometimes, agencies will even use questionable methods to put pressure on debtors. Unfortunately, you may have to deal with them if you have outstanding debts. If this is the case, remember that you should not feel threatened. There are steps you can take to make the process much less painful. This will let you return to your normal activities without fear of reprisals by collection agencies. How collection agencies work If you are receiving calls from collection agencies, it’s because you owe money to one or more creditors. Collection agencies have a mandate to recover what you owe to creditors. In general, collection agencies work on commission. The more money they [...]

Which solution to pick

Choosing the right solution for you: consumer proposals vs. bankruptcy

If you are deep in debt, you are probably looking for a solution to solve your financial troubles. But how do you choose between a consumer proposal and bankruptcy? The role of the Licensed Insolvency Trustee Let’s start by making one thing clear: consumer proposals and bankruptcy are two legitimate solutions to solve debt problems. Choosing between these solutions is a personal decision that falls to the debtor. But to make an informed decision, debtors can rely on Licensed Insolvency Trustees (LIT). The LIT’s job is to assess debtor’s financial situation. They must then fully inform the debtor about each processand their benefits, and the differences between them. The LIT cannot impose the solution of their choice. The debtor must always make [...]

April 2017

Information to provide a LIT

Information to Provide a Licensed Insolvency Trustee during a Meeting

Discussing our financial situation is not easy, especially when we are in debt. Some people are hesitant to meet with a Licensed Insolvency Trustee (LIT) because they worry about having to reveal personal information. If, you are looking for solutions to manage your debt and would like to learn more about what information to disclose, this post includes a complete list of the information to provide to your LIT so they can offer the best solution to your debt. (more…)

September 2016


What Rights and Recourses do Creditors have in a Bankruptcy?

What rights and recourses do creditors have in a bankruptcy? The Bankruptcy and Insolvency Act (BIA) allows an honest but unlucky debtor to find a way back to financial health. Through this process, debtors can be freed of their financial burden as long as they respect their obligations under the Act. (more…)

May 2016

consequences bankruptcy

The Consequences of Bankruptcy on Hydroelectricity and Other Services

Bankruptcy puts an end to many debts. But what becomes of your financial health after bankruptcy? Maybe you want to get out of debt but you’d like to learn more about the positive and negative impacts of your decision. In this case, here is what you should know about some of the consequences after filing for bankruptcy. (more…)

April 2016

Resiliation of commercial leases

Company reorganization and resiliation of commercial leases

Resiliation of commercial leases with a notice of intention or settlement proposal The Bankruptcy and Insolvency Act (BIA) allows a company being restructured to resiliate one or several leases. (Subsection 65.2(1) BIA) The request for resiliation must be made between the time the notice of intention is filed and the settlement proposal is submitted. A company with several places of business can therefore resiliate leases and close non-profitable establishments that are the cause, in whole or in part, of its financial difficulties. Said requests for resiliation must be done with 30 days advance notice to the lessor and the latter can contest this request in the 15 days following the advance notice. If the lessor contests the resiliation request, the debtor (the [...]

February 2016

Unclaimed dividends

Unclaimed Dividends

In the case of a bankruptcy, dividends allocated to creditors in the estate asset distribution exercise remain at times unclaimed. Under what circumstances are dividends not distributed? This situation can occur for various reasons. The trustee may have sent the dividend payment to the creditor’s last known address who may have moved without notice of an address change. It may also occur that funds are available for distribution but that creditors may have decided not to prove their claim. However, when he closes his file, the Trustee must dispose of any unclaimed dividends. He remits them to the Office of the Superintendent of Bankruptcy Canada (OSB) which will hold them for a possible claim by those creditors for whom they are [...]