BANKRUPTCY ACT 1966
Subject to this Division, all debts and liabilities, present or future, certain or contingent, to which a bankrupt was subject at the date of the bankruptcy, or to which he or she may become subject before his or her discharge by reason of an obligation incurred before the date of the bankruptcy, are provable in his or her bankruptcy.
Without limiting subsection (1), debts referred to in that subsection include a debt consisting of all or part of a sum that became payable by the bankrupt under a maintenance agreement or maintenance order before the date of the bankruptcy.
Demands in the nature of unliquidated damages arising otherwise than by reason of a contract, promise or breach of trust are not provable in bankruptcy. 82(3)
Penalties or fines imposed by a court in respect of an offence against a law, whether a law of the Commonwealth or not, are not provable in bankruptcy.
An amount payable under an order made under section 1317G of the Corporations Act 2001 is not provable in bankruptcy.
A debt incurred under any of the following is not provable in bankruptcy:
(a) Part 4-1 of the Higher Education Support Act 2003 (HELP debts);
(aaa) Part 3A of the VET Student Loans Act 2016 (VETSL debts);
(aa) Part 2AA.3 of the Social Security Act 1991 (student start-up loan debts);
(ab) Division 3 or 4 of Part 2 of the Student Assistance Act 1973 (ABSTUDY student start-up loan debts);
(b) Part 3.1 of the Trade Support Loans Act 2014 (trade support loan debts).
An amount payable under an order made under a proceeds of crime law is not provable in bankruptcy.
A debt is not provable in a bankruptcy in so far as the debt consists of interest accruing, in respect of a period commencing on or after the date of the bankruptcy, on a debt that is provable in the bankruptcy.
The trustee shall make an estimate of the value of a debt or liability provable in the bankruptcy which, by reason of its being subject to a contingency, or for any other reason, does not bear a certain value. 82(5)
A person aggrieved by an estimate so made may appeal to the Court not later than 28 days after the day on which the person is notified of the estimate.
If the Court finds that the value of the debt or liability cannot be fairly estimated, the debt or liability shall be deemed not to be provable in the bankruptcy. 82(7)
If the Court finds that the value of the debt or liability can be fairly estimated, the Court shall assess the value in such manner as it thinks proper. 82(8)
In this section, liability includes:
(a) compensation for work or labour done;
(b) an obligation or possible obligation to pay money or money ' s worth on the breach of an express or implied covenant, contract, agreement or undertaking, whether or not the breach occurs, is likely to occur or is capable of occurring, before the discharge of the bankrupt; and
(c) an express or implied engagement, agreement or undertaking, to pay, or capable of resulting in the payment of, money or money ' s worth, whether the payment is:
(i) in respect of amount - fixed or unliquidated;
(ii) in respect of time - present or future, or certain or dependent on a contingency; or
(iii) in respect of the manner of valuation - capable of being ascertained by fixed rules or only as matter of opinion.
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