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| 19.1 |
The Bankruptcy Court is part of the Chancery Division and disposes of proceedings relating to insolvent individuals arising under Parts VIII to XI of the Insolvency Act 1986Acts and related legislation. These include applications for interim orders to support an individual voluntary arrangement, applications to set aside a statutory demand, bankruptcy petitions and various applications concerned with the realisation and distribution of the assets of individuals who have been adjudged bankrupt, as well as proceedings concerning the administration in bankruptcy of the insolvent estate of a deceased person. The procedure in the Bankruptcy Court is governed by the Insolvency Rules and the PD -- Insolvency Proceedings. Appeals in bankruptcy matters are covered in Chapter 10.
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| 19.2 |
Proceedings in the Bankruptcy Court are issued in the Bankruptcy Issue and Search Room and are dealt with by the Registrars in Bankruptcy, not the Masters. Proceedings under Parts VIII to XI of the Insolvency Act 1986Acts should be entitled "IN BANKRUPTCY".
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| 19.3 |
Certain matters, such as applications for injunctions or for committal for contempt, are heard by a judge. A judge is available to hear such matters each day in term time and applications may be listed for any such day. The judge will normally also be hearing the interim applications list for the day, but one or more other judges may be available to assist if necessary.
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| 19.4 |
The Registrar may refer or adjourn proceedings to the judge, having regard to such matters as the complexity of the proceedings, whether the proceedings raise new or controversial points of law, the likely date and length of the hearing, public interest in the proceedings, and the availability of relevant specialist expertise. When proceedings have been referred or adjourned to the judge, interim applications and applications for directions or case management will be listed before a judge, except where liberty to apply to the Registrar has been given.
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| 19.5 |
There are prescribed forms for use in connection with all types of statutory demand and of petitions for bankruptcy orders. Every other type of application is either an originating application in Form 7.1 (meaning an application to the court which is not an application in pending proceedings before the court) or an ordinary application in Form 7.2 (meaning any other application to the court).
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Statutory demands
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| 19.6 |
All applications to set aside a statutory demand are referred initially to a Registrar. The application may be dismissed by the court without a hearing if it fails to disclose sufficient grounds (see paragraph 12.4 of PD -- Insolvency Proceedings and Insolvency Rules, r. 6.5(4). If it is not dismissed summarily, it will be allocated a hearing date when the Registrar may either dispose of it summarily or give directions for its disposal at a later date. Such directions will commonly include an order for the filing and service of written evidence and a listing certificate of compliance (see paragraph 19.13 below).
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Bankruptcy petitions
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| 19.7 |
The court will not normally allow more than one bankruptcy petition to be presented against an individual at any one time.
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| 19.8 |
In cases where the statutory demand relied on has not been personally served on the debtor or where execution of the debt has been returned unsatisfied in whole or in part, the permission of the Registrar is required before a petition may be presented to the court. For service of statutory demands see paragraphs 10 -- 11 and 13 of PD -- Insolvency Proceedings.
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| 19.9 |
On presentation to the court a bankruptcy petition is given a distinctive number. The details of the name and address of the petitioner, of his solicitors and of the debtor are entered on a computerised record which may be searched by attendance at the Issue and Search Room. It will also be endorsed with a hearing date which may be extended on application without notice if the petitioner has been unable to serve the petition on the debtor before the hearing date (see paragraph 14 of PD -- Insolvency Proceedings).
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| 19.10 |
A debtor who intends to oppose the making of a bankruptcy order should file and serve a written notice in the prescribed form stating his grounds for opposing the petition not less than seven days before the hearing date. The court may give such further directions as to the filing of evidence and of listing certificates (see paragraph 19.13 below) as it considers appropriate to the disposal of the petition.
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Other applications
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| 19.11 |
Many different types of application may be made to the court for the purpose of the administration of the estate and affairs of a bankrupt individual or insolvent person who is subject to an individual voluntary arrangement (IVA). These may involve such matters as the examination of the bankrupt or of persons having knowledge of his affairs, the realisation of assets in his estate and the determination of disputes regarding the validity of a creditor's claim to dividend or entitlement to vote at a creditors' meeting. Such applications will be given a hearing date when the Registrar will give such directions as are appropriate to the type of case, which may include directions for the filing and service of written evidence, for the cross-examination of witnesses and for the filing of certificates of compliance (see paragraph 19.13 below).
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Orders without attendance
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| 19.12 |
In suitable cases the court will normally be prepared to make orders under Part VIII of the Act (interim orders for IVAs) and consent orders without attendance by the parties. Details of these types of order are set out in paragraph 16 of the PD -- Insolvency Proceedings.
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Listing certificates
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| 19.13 |
In order to prevent waste of the court's time each party to insolvency proceedings may be required by the court to file a listing certificate in which he will be required to certify whether the directions previously given by the court have been complied with, whether and by whom he will be represented at the final hearing, his estimate of the time required for such hearing and his and his representative's dates to avoid. On the filing of the certificates in any particular case the court will fix a date for the final hearing of the case and notify the parties.
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Preparation for hearings before the Registrars
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| 19.14 |
Paragraphs 7.39 to 7.50 apply to hearings before the Bankruptcy Registrars. Skeleton arguments and bundles should be delivered to the Bankruptcy Registry.
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General information
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| 19.15 |
Inspection of the court's record and court file in any insolvency proceedings is governed by Insolvency Rules, rr. 7.28 and 7.31.
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| 19.16 |
The following publications regarding practice and procedure in the Bankruptcy Court are available free from the Bankruptcy Issue and Search Room and from Room TM1.10 Thomas More Building, Royal Courts of Justice:
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(1) |
Current Practice Direction and Practice Notes
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(2) |
A concise Guide to procedure in the Bankruptcy Court
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(3) |
"I want to set aside my statutory demand -- what do I do?"
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(4) |
"I have a petition against me -- what do I do?"
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(5) |
"I want to appeal an order made by a District Judge or an order made by a Bankruptcy Registrar of the High Court -- what can I do?"
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(6) |
"I wish to apply for my Certificate of Discharge from Bankruptcy -- what do I do?"
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(7) |
Dealing with debt -- how to make someone bankrupt
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(8) |
Dealing with debt -- how to petition for your own bankruptcy.
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