🚀 go-pugleaf

C'est un message de format MIME en plusieurs parties.

------=_NextPart_000_011C_01C0B688.9FB7BC40
Content-Type: text/plain;
	charset="iso-8859-1"
Content-Transfer-Encoding: quoted-printable

 Filing for bankruptcy to simply avoid facing one's obligations is not =
allowed.

This principle was reiterated by the Quebec Court of appeals in a case =
where a 40 year-old man who had held the same job for about twenty years =
with a well established company had borrowed almost 25 000$ from a bank, =
which was to be reimbursed by monthly installments of 599$.

A few months later, the man had requested that one of the installments =
be deferred to the end of the year, which the bank had accepted. A few =
weeks afterwards, he made the same request for another installment, but =
this time the bank refused, in accordance with its policy to the effect =
that a client could only ask for one deferment per year. However, the =
bank suggested that he pay his installment the following month.

In response, the man went to see a trustee and filed for assignment =
(bankruptcy), by declaring that his only debt was the money he owed to =
the bank, that his salary was about 45 000$ per year and that in =
addition to the 24 500$ owed to the bank, his monthly expenses were of =
about 1 700$ (including alimony payments of 300$), while his assets were =
of 3 300$ in total.

According to section 49 of the Bankruptcy and Insolvency Act, an =
insolvent person may, with the court's permission, make an assignment of =
all his property. Section 2 of the Act specifies that an "insolvent =
person" is, notably, a person whose liabilities to creditors amount to =
at least one thousand dollars and whose property, if it were sold, would =
not be sufficient to enable payment of all of that person's obligations.

This means that, technically, the man's situation fell within the Act's =
provisions for assignment.

However, section 181 of the Act is to the effect that where, in the =
opinion of the court, an assignment ought not to have been filed, the =
court may annul the bankruptcy. The bank invoked this section to have =
the bankruptcy set aside by the Quebec Superior court.

First, the court mentioned that the Act's objective is to allow an =
honest, but unlucky person to rehabilitate himself or herself and rejoin =
the economic circle, but that a person may not simply use the Act's =
provisions as a means of getting rid of his or her obligations.

At the hearing, the man had admitted that he had not tried to negotiate =
with the bank besides requesting the additional extension which had been =
refused, while evidence was to the effect that he had not tried to meet =
the bank's representatives to discuss possible solutions to the =
reimbursement of his debt, that the bank had not pressured him (not even =
a summons) and was willing to accommodate him, and that he had not made =
any true effort to settle the payment of his debt.

In light of these circumstances, the court concluded that there had been =
improper use of the Bankruptcy and Insolvency Act at the detriment of =
the bank and of the public interest, and that this was an exceptional =
case where the annulment of the assignment was justified. Consequently, =
the court set the assignment aside, which had the effect of reviving the =
debt.=20

This judgment was confirmed by the Quebec Court of appeal, which =
mentioned that the power to annul assignments in bankruptcy must be =
exercised prudently and in exceptional circumstances and that the courts =
should prevent unscrupulous persons from abusing the Bankruptcy and =
Insolvency Act in trying to simply get rid of their obligations.

[Posting date in the "What's up?" section: 22/03/01. Court file number: =
200-09-001872-982. Judgment date: 14/02/01]

Beaulieu Normandeau, attorneys
Place Iberville III
2960, boulevard Laurier, suite 40
Sainte-Foy (QC) G1V 4S1
Canada
Tel: (418) 652-1868
Fax: (418) 657-6728
Web site: www.beaulieunormandeau.com
e-mail: attorney@beaulieunormandeau.com


-------------------------------------------------------------------------=
-------


Operating out of the Quebec City suburb of Sainte-Foy in Canada, =
Beaulieu Normandeau represents individuals and small, medium and large =
companies and corporations by offering them practical and judicious =
strategies and solutions in view of maintaining and facilitating their =
growth.

Our web site's main purpose is to share legal information with our =
clients and the general public in a practical, dynamic and user-friendly =
manner. Its main section, "What's up?", is updated every Monday and =
contains a brief summary of our selection of recent judgments or of =
legal principles relating to the business world that we deem important =
for people residing in Quebec or who have interests here, and who wish =
to have a better understanding of the workings of our legal system. This =
section also allows visitors to our site to subscribe to our free e-mail =
service to automatically receive our weekly articles on business law.

Please note that the legal developments summarized above are shared as =
general information only, do not constitute a full analysis or a legal =
opinion on our part and do not establish a solicitor-client =
relationship. Although our summaries take into account applying law at =
the moment of their posting here and usually rely on a recent =
jurisprudential basis, and although we do our utmost to post up-to-date =
information, the law discussed here may be modified or may have been =
modified and the facts of the case are not necessarily the same as those =
that may concern you. Be prudent and consult an attorney before taking =
an important decision!

Any court file numbers and judgments referred to above truly exist. As =
to judgments, the vast majority are subject to a delay between the date =
at which they are rendered and the date at which they are available in =
electronic databases. Finally, as to the identity of parties to a =
litigation process, although such information is part of the public =
domain, our policy is to refrain from posting it.

We thank you for your attention.

------=_NextPart_000_011C_01C0B688.9FB7BC40
Content-Type: text/html;
	charset="iso-8859-1"
Content-Transfer-Encoding: quoted-printable

<!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN">
<HTML><HEAD>
<META http-equiv=3DContent-Type content=3D"text/html; =
charset=3Diso-8859-1">
<META content=3D"MSHTML 5.50.4134.600" name=3DGENERATOR>
<STYLE></STYLE>
</HEAD>
<BODY bgColor=3D#ffffff>
<DIV><FONT face=3DArial color=3D#400000 size=3D2><STRONG>&nbsp;Filing =
for bankruptcy=20
to simply avoid facing one's obligations is not =
allowed.</STRONG></FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>This principle was reiterated by the =
Quebec Court=20
of appeals in a case where a 40 year-old man who had held the same job =
for about=20
twenty years with a well established company had borrowed almost 25 000$ =
from a=20
bank, which was to be reimbursed by monthly installments of =
599$.</FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>A few months later, the man had =
requested that one=20
of the installments be deferred to the end of the year, which the bank =
had=20
accepted. A few weeks afterwards, he made the same request for another=20
installment, but this time the bank refused, in accordance with its =
policy to=20
the effect that a client could only ask for one deferment per year. =
However, the=20
bank suggested that he pay his installment the following =
month.</FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>In response, the man went to see a =
trustee and=20
filed for assignment (bankruptcy), by declaring that his only debt was =
the money=20
he owed to the bank, that his salary was about 45 000$ per year and that =
in=20
addition to the 24 500$ owed to the bank, his monthly expenses were of =
about 1=20
700$ (including alimony payments of 300$), while his assets were of 3 =
300$ in=20
total.</FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>According to section 49 of the =
Bankruptcy and=20
Insolvency Act, an insolvent person may, with the court's permission, =
make an=20
assignment of all his property. Section 2 of the Act specifies that an=20
"insolvent person" is, notably, a person whose liabilities to creditors =
amount=20
to at least one thousand dollars and whose property, if it were sold, =
would not=20
be sufficient to enable payment of all of that person's=20
obligations.</FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>This means that, technically, the man's =
situation=20
fell within the Act's provisions for assignment.</FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>However, section 181 of the Act is to =
the effect=20
that where, in the opinion of the court, an assignment ought not to have =
been=20
filed, the court may annul the bankruptcy. The bank invoked this section =
to have=20
the bankruptcy set aside by the Quebec Superior court.</FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>First, the court mentioned that the =
Act's objective=20
is to allow an honest, but unlucky person to rehabilitate himself or =
herself and=20
rejoin the economic circle, but that a person may not simply use the =
Act's=20
provisions as a means of getting rid of his or her =
obligations.</FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>At the hearing, the man had admitted =
that he had=20
not tried to negotiate with the bank besides requesting the additional =
extension=20
which had been refused, while evidence was to the effect that he had not =
tried=20
to meet the bank's representatives to discuss possible solutions to the=20
reimbursement of his debt, that the bank had not pressured him (not even =
a=20
summons) and was willing to accommodate him, and that he had not made =
any true=20
effort to settle the payment of his debt.</FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>In light of these circumstances, the =
court=20
concluded that there had been improper use of the Bankruptcy and =
Insolvency Act=20
at the detriment of the bank and of the public interest, and that this =
was an=20
exceptional case where the annulment of the assignment was justified.=20
Consequently, the court set the assignment aside, which had the effect =
of=20
reviving the debt.&nbsp;</FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>This judgment was confirmed by the =
Quebec Court of=20
appeal, which mentioned that the power to annul assignments in =
bankruptcy must=20
be exercised prudently and in exceptional circumstances and that the =
courts=20
should prevent unscrupulous persons from abusing the Bankruptcy and =
Insolvency=20
Act in trying to simply get rid of their obligations.</FONT></DIV>
<DIV>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D1>[Posting date in the "What's up?" =
section:=20
22/03/01. Court file number: 200-09-001872-982. Judgment date:=20
14/02/01]<BR></FONT></DIV>
<DIV align=3Djustify><FONT face=3DArial size=3D2>Beaulieu Normandeau,=20
attorneys<BR>Place Iberville III<BR>2960, boulevard Laurier, suite=20
40<BR>Sainte-Foy (QC) G1V 4S1<BR>Canada<BR>Tel: (418) 652-1868<BR>Fax: =
(418)=20
657-6728<BR>Web site: <A =
href=3D"http://www.beaulieunormandeau.com"><FONT=20
color=3D#0000ff>www.beaulieunormandeau.com</FONT></A><BR>e-mail: <A=20
href=3D"mailto:attorney@beaulieunormandeau.com"><FONT=20
color=3D#0000ff>attorney@beaulieunormandeau.com</FONT></A></FONT></DIV>
<DIV><FONT face=3DArial size=3D2></FONT>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D2>
<HR align=3Djustify>
</FONT></DIV>
<DIV><FONT face=3DArial size=3D1></FONT>&nbsp;</DIV>
<DIV><FONT face=3DArial size=3D1>Operating out of the Quebec City suburb =
of=20
Sainte-Foy in Canada, Beaulieu Normandeau represents individuals and =
small,=20
medium and large companies and corporations by offering them practical =
and=20
judicious strategies and solutions in view of maintaining and =
facilitating their=20
growth.</FONT></DIV>
<DIV><FONT size=3D1></FONT>&nbsp;</DIV>
<DIV align=3Djustify><FONT face=3DArial size=3D1>Our web site's main =
purpose is to=20
share legal information with our clients and the general public in a =
practical,=20
dynamic and user-friendly manner. Its main section, "<A=20
href=3D"http://beaulieunormandeau.com/new.htm">What's up?</A>", is =
updated every=20
Monday and contains a brief summary of our selection of recent judgments =
or of=20
legal principles relating to the business world that we deem important =
for=20
people residing in Quebec or who have interests here, and who wish to =
have a=20
better understanding of the workings of our legal system. This section =
also=20
allows visitors to our site to subscribe to our free e-mail service to=20
automatically receive our weekly articles on business law.</FONT></DIV>
<DIV><FONT size=3D1></FONT>&nbsp;</DIV>
<DIV align=3Djustify><FONT face=3DArial size=3D1>Please note that the =
legal=20
developments summarized above are shared as general information only, do =
not=20
constitute a full analysis or a legal opinion on our part and do not =
establish a=20
solicitor-client relationship. Although our summaries take into account =
applying=20
law at the moment of their posting here and usually rely on a recent=20
jurisprudential basis, and although we do our utmost to post up-to-date=20
information, the law discussed here may be modified or may have been =
modified=20
and the facts of the case are not necessarily the same as those that may =
concern=20
you. Be prudent and consult an attorney before taking an important=20
decision!</FONT></DIV>
<DIV><FONT size=3D1></FONT>&nbsp;</DIV>
<DIV align=3Djustify><FONT face=3DArial size=3D1>Any court file numbers =
and judgments=20
referred to above truly exist. As to judgments, the vast majority are =
subject to=20
a delay between the date at which they are rendered and the date at =
which they=20
are available in electronic databases. Finally, as to the identity of =
parties to=20
a litigation process, although such information is part of the public =
domain,=20
our policy is to refrain from posting it.</FONT></DIV>
<DIV><FONT size=3D1></FONT>&nbsp;</DIV>
<DIV align=3Djustify><FONT face=3DArial size=3D2><FONT size=3D1>We thank =
you for your=20
attention.</FONT></FONT></DIV></BODY></HTML>

------=_NextPart_000_011C_01C0B688.9FB7BC40--