Mullin (Re)

Mullin (Re)

Applying s.172(3) BIA, the court required satisfaction that there is no reasonable probability the bankrupt could pay the $3,200; given her substantial unsecured and secured debts, family obligations, need to obtain discharge to make a new assignment, trustee advice and absence of creditor objections, the court...

Source-derived case information.

Citation
2007 NSSC 295
Parties
Bankrupt/applicant: Mary Louise Mullin (Beaton); Trustee: BDO Dunwoody Goodman Rosen Inc.; Opposer (no Active Opposition in This Application): Authorities responsible for student loans
Court
Supreme Court of Nova Scotia
Jurisdiction
Canada
Judgment Date
15 October 2007
Procedural Posture
Bankruptcy and Insolvency / Application for Relief From Conditional Discharge Under BIA Ss.172(3) or 187(5)
Outcome
Application granted. Bankrupt relieved of the $3,200 conditional payment and entitled to discharge.
Legal Topics
Conditional Discharge, Student Loans, Relief From Discharge Condition, Assignment in Bankruptcy, Matrimonial Debts
Source Language
english
Bankruptcy Insolvency Conditional Discharge Student Loans Relief From Discharge Condition Assignment in Bankruptcy Matrimonial Debts

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Parties

Mary Louise Mullin (Beaton)

Bankrupt/applicant

BDO Dunwoody Goodman Rosen Inc.

Trustee

Authorities responsible for student loans

Opposer (no Active Opposition in This Application)

Procedural Posture

Bankruptcy and Insolvency / Application for Relief From Conditional Discharge Under BIA Ss.172(3) or 187(5)

Legal Issues

  1. 1 Whether the court should relieve the bankrupt of a $3,200 conditional payment imposed on her 1992 discharge under BIA s.172(3) or s.187(5)
  2. 2 Whether there is no reasonable probability the bankrupt can pay the conditioned amount given her current debts and obligations
  3. 3 Whether the bankrupt is entitled to be discharged despite the unpaid condition and historical opposition by student loan authorities

Ratio Decidendi

Applying s.172(3) BIA, the court required satisfaction that there is no reasonable probability the bankrupt could pay the $3,200; given her substantial unsecured and secured debts, family obligations, need to obtain discharge to make a new assignment, trustee advice and absence of creditor objections, the court concluded there was no reasonable probability of payment and therefore relieved her of the payment condition and granted the discharge.

Court Disposition

Application granted. Bankrupt relieved of the $3,200 conditional payment and entitled to discharge.

Orders

  • The applicant, Mary Louise Mullin (Beaton), is discharged and relieved from the obligation to pay $3,200 as a condition of her 1992 discharge under the Bankruptcy and Insolvency Act.