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Section 320: Voidable gift

Insolvency Act · PART IV: PROVISIONS APPLICABLE TO BANKRUPTCY AND WINDING UP

consolidated text (as at 2017, amended since). juris shows the text as it was consolidated; it does not confirm that this is the law in force today.

320. Voidable gift (1) A gift by a debtor to another person may be set aside by the Court on the application of the Official Receiver or a liquidator where— (a) the debtor made the gift within 2 years immediately before the date of adjudication or the commencement of the winding up; and (b) the debtor was unable to pay his or its due debts immediately after making the gift. (2) A gift that is made within 6 months immediately before the date of the debtor’s adjudication or the commencement of the winding up is presumed, unless the contrary is proved, to be made at a time when the debtor is unable to pay his or its due debts.

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