Bankruptcy and Gambling in Brantford
Here's a question we received:I'm facing a bad financial situation and I'm a gambler.What will happen if I will try to file bankruptcy on gambling?
Here's the answer regarding gambling and bankruptcy:
Each year I meet with a number of people who have debts as a result of gambling. It is possible to go bankrupt in Brantford and have your gambling debts discharged.
Section 173(1)(e) of the Bankruptcy & Insolvency Act states that if: "the bankrupt has brought on, or contributed to, the bankruptcy by rash and hazardous speculations, by unjustifiable extravagance in living, or by gambling ..." then the court may refuse or suspend the discharge of the bankrupt, or require the bankrupt to perform other duties.
In my experience, if gambling was a significant contributing factor to the bankruptcy, it is likely that the bankrupt person will not receive an automatic discharge in the usual minimum period of nine months. It is the Bankruptcy Court's practice to extend the bankruptcy for a further 12 months, during which time the bankrupt must continue to make payments to the estate based on their income.
However, each case is different, and it is up to the court to determine in each case how a bankruptcy should end. The court will also consider what actions the bankrupt has taken to prevent themselves from having further gambling problems, such as attending counselling and having themselves voluntarily banned from attending a casino.
This is a complicated area, and there are many factors to consider, so I strongly recommend that you call our office in Brantford at (519) 770-4440 or 310-PLAN or e-mail us for more information and to set up a free initial consultation.
Filed as: personal bankruptcy, bankruptcy Brantford, gambling bankruptcy
posted by Questions @ 4:20 PM
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