Section 51: Avoidance of certain settlements

51. Avoidance of certain settlements (1) Any settlement of property made by a trader not being a settlement made before and in consideration of marriage, of property actually vested in him at the time of such marriage, or not being a settlement made in favour of a purchaser or incumbrancer in good faith and for valuable consideration, shall, if the settlor becomes bankrupt within 2 years after the date of such B4 – 25 [Issue 1] Bankruptcy Act settlement, be void as against the trustee under this Act, and shall, if the settlor becomes bankrupt at any subsequent time within 10 years after the date of such settlement – unless the parties claiming under such settlement can prove that the settlor was, at the time of making the settlement, able to pay all his debts without the aid of the property comprised in such settlement – be void as against such trustee. (2) In this section, “settlement” includes any conveyance or mortgage.