Storey v Lane [1981] HCA 47

Storey v Lane [1981] HCA 47

Section 60(1) of the Bankruptcy Act 1966 (Cth), as amended, is a law with respect to bankruptcy and insolvency within the meaning of s. 51(xvii) of the Constitution. It validly empowers the Court to discharge a bankrupt from custody imposed for default in payment of a provable debt, notwithstanding any contrary State law.

Jurisdiction
Australia
Procedural Posture
Application for Declaration and Orders in Bankruptcy Proceedings / Judgment Following Removal to High Court Under S. 40(1) of the Judiciary Act
Outcome
Application allowed. Declaration granted. Applicant discharged from custody. Legal process relating to State imprisonment permanently stayed. Costs awarded to applicant.
Legal Topics
['validity of Federal Bankruptcy Law' 'conflict Between Commonwealth and State Law' 'imprisonment for Debt' 'interpretation of S. 51(xvii) Constitution' 'federal Judicial Power' 'effect of Bankruptcy on Enforcement of State Penalties']
['constitutional Law' 'bankruptcy Law'] ['validity of Federal Bankruptcy Law' 'conflict Between Commonwealth and State Law' 'imprisonment for Debt' 'interpretation of S. 51(xvii) Constitution' 'federal Judicial Power' 'effect of Bankruptcy on Enforcement of State Penalties']

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Procedural Posture

Application for Declaration and Orders in Bankruptcy Proceedings / Judgment Following Removal to High Court Under S. 40(1) of the Judiciary Act

Legal Issues

  1. 1 ['Is s. 60(1) of the Bankruptcy Act 1966 (Cth), as amended by the Bankruptcy Amendment Act 1980, a valid law of the Commonwealth?' 'Does s. 60(1) empower the Court to discharge a debtor from custody imposed by a State court for non-payment of a provable debt?' 'Does s. 60(1) validly operate despite conflicting State laws regarding imprisonment for debt?']

Ratio Decidendi

Section 60(1) of the Bankruptcy Act 1966 (Cth), as amended, is a law with respect to bankruptcy and insolvency within the meaning of s. 51(xvii) of the Constitution. It validly empowers the Court to discharge a bankrupt from custody imposed for default in payment of a provable debt, notwithstanding any contrary State law.

Court Disposition

Application allowed. Declaration granted. Applicant discharged from custody. Legal process relating to State imprisonment permanently stayed. Costs awarded to applicant.

Orders

  • ['Declare that s. 60(1) of the Bankruptcy Act 1966 as amended is a valid law of the Commonwealth.' 'Order that the applicant be forthwith discharged out of custody under the orders made on his conviction of offences against s. 113 of the Industrial Conciliation and Arbitration Act 1961 Q.' 'Order that any legal...