Browse an Act, find a provision and read each section in context.
Browse Acts ↓(1) A person who, while admitted to the no-asset procedure— (a) alone or jointly with another person, obtains credit of one hundred thousand shillings or more; (b) incurs liability to a credit provider for one hundred thousand shillings or more for the purpose of obtaining credit for another person;…
A debtor's participation in the no-asset procedure terminates when— (a) the Official Receiver terminates the debtor's participation under section 355; (b) the debtor is discharged under section 359; (c) the debtor applies for the debtor's own bankruptcy; or (d) a creditor who is entitled to do so (f…
(1) The Official Receiver shall terminate a debtor's participation in the no-asset procedure if satisfied— (a) that the debtor was wrongly admitted to the no-asset procedure (for example, because the debtor concealed assets) or misled the Official Receiver; or (b) that the debtor's financial circums…
(1) If the Official Receiver terminates a debtor's participation in the no-asset procedure on the ground that the debtor has concealed assets or misled the Official Receiver, the Court may, on the application of the Official Receiver, make an order for the preservation of the debtor's assets pending…
(1) On termination of the debtor's participation in the no-asset procedure— (a) the debtor's debts that became unenforceable on the debtor's entry to the no-asset procedure become again enforceable; and (b) the debtor becomes liable to pay any penalties and interest that may have accrued. (2) Subsec…
A creditor may apply to the Official Receiver for termination of the debtor's participation in the no-asset procedure on the ground— (a) that the debtor did not meet the criteria for admission to the no-asset procedure; or (b) that there are reasonable grounds for the Official Receiver to conclude t…
(1) A debtor who is participating in the no-asset procedure is automatically discharged from that procedure at the end of twelve months after the date when the debtor was admitted to it. (2) Subsection (1) does not apply if the Official Receiver— (a) is satisfied that the twelve-month period should…
(1) On discharge under section 359— (a) the debtor's debts that became unenforceable on the debtor's entry to the no-asset procedure are cancelled; and (b) the debtor is no longer liable to pay any part of the debts, including any penalties and interest that may have accrued. (2) Subsection (1) does…
A discharge under section 359 does not release a person who, at the date of discharge, was— (a) a business partner of the discharged debtor; (b) a co-trustee with the discharged debtor; (c) jointly bound or had made any contract with the discharged debtor; or (d) a guarantor or in the nature of a gu…
(1) In this Part— "administrator" has the same meaning as in the Law of Succession Act (Cap. 160); "beneficiary", in relation to a deceased debtor's estate, means a person who is beneficially interested in the estate; "estate" has the same meaning as in the Law of Succession Act and, in relation to…
(1) The Court may order that the estate of a deceased debtor be administered under this Part on the application— (a) under section 364 of the executor or administrator or a person who is applying to the Court for a grant of probate or letters of administration; or (b) under section 365 of— (i) a cre…
(1) The executor or administrator, or a person who is applying to the Court for a grant of probate or letters of administration, may apply to the Court for an order that the estate be administered under this Part if the executor or administrator or person applying is of the view that the money in th…
(1) An application to the Court for an order under this Part may also be made— (a) by a creditor of the deceased's estate, if the creditor's debt has reached the threshold for a creditor's application for bankruptcy; or (b) by a beneficiary. (2) A creditor or beneficiary may apply for such an order…
If an application has been lodged by a creditor or beneficiary under section 365, the applicant shall give notice of the application— (a) to the executor or administrator; or (b) if there is no executor or administrator, to the person specified by the Court.
(1) This section applies if— (a) an application has been made to the Court for an order to administer an estate under this Part; and (b) the Court believes that the estate is likely to be better administered by the Official Receiver or the Public Trustee rather than by the person who is or may becom…
(1) If the Public Trustee is the executor or administrator of, or would be entitled to obtain a grant of administration for, an apparently insolvent estate, the Public Trustee may lodge a certificate under this section. (2) The lodging of a certificate in the prescribed form has the effect both of a…
(1) The whole of the estate at the date when the application for the order under this Part was lodged vests in the person appointed by the Court to administer it as trustee. (2) In its order that the estate be administered under this Part or in a subsequent order, the Court shall appoint as trustee—…
The trustee shall, as soon as practicable after the estate vests in the trustee, realise, administer, and distribute the assets in accordance with the law and practice of bankruptcy, subject to any modifications in this Part.
(1) This section applies if the estate that vests in the trustee includes any of the deceased's necessary household furniture and effects that would have passed to the deceased's surviving spouse if the estate had not been insolvent. (2) The surviving spouse may select and retain as the spouse's own…
(1) The trustee may make an allowance out of the estate to the surviving spouse or to any of the relatives or dependants of the deceased or the surviving spouse for the support of any of them. (2) However, the trustee shall first obtain the consent of the creditors, which is to be expressed in the f…
This Division applies if the Court has made an order that the estate of a deceased person be administered under this Part.
The trustee has, in relation to the estate, the same functions and powers as a bankruptcy trustee has in relation to the property of a bankrupt.
(1) The trustee shall distribute the estate in the following order— (a) firstly, payment of all proper costs, charges, debts and expenses of the due administration of the estate, whether incurred before or after the order is made; (b) secondly, payment of the deceased's reasonable funeral expenses;…
(1) In this section, "surplus" means the surplus of assets that remains with the trustee after the trustee has paid in full— (a) the debts due by the deceased debtor; (b) the costs of the administration under this Part; and (c) any other money that would be payable in a case of bankruptcy. (2) The t…
If an order that a deceased's estate be administered under this Part is notified to the deceased's executor or administrator, the executor or administrator may obtain a proper discharge for any payment of money or disposition of property by the executor or administrator only if the payment or dispos…
(1) A trustee may take a step that a bankruptcy trustee could have taken under Division 19 of Part III (for example, by cancelling an irregular transaction) as if the deceased had been bankrupt at the time of death. (2) When a trustee takes such a step, the following further additional restrictions…
The trustee may cancel an execution against the deceased debtor's estate unless it was completed more than three months before the date of the order that the estate be administered under this Part.
A payment made, or an act done or omitted to be done, in good faith by an executor or administrator in respect of a deceased's estate before the executor or administrator had notice of an intention to apply for an order that the estate be administered under this Part is not invalidated by any other…
(1) This Part applies to the liquidation of a company registered under the Companies Act (Cap. 486). (2) A liquidation may be either— (a) voluntary in accordance with Divisions 2 to 5; or (b) by the Court in accordance with Division 6. (3) This Division and Divisions 7 to 10 relate to liquidation ge…
In this Part— (a) a liquidation in the case of which a directors' statutory declaration under section 398 has been made is a "members' voluntary liquidation"; and (b) a liquidation in the case of which such a declaration has not been made is a "creditors' voluntary liquidation".