Disclaimer of onerous property.Disclaimer of onerous property.

Disclaimer of onerous property.

Tas., ss. 22, 23.

E.B.A., s. 54.

N.S.W., s. 62.

Vic., s. 155.

S.A., ss. 130–134.

W.A., s. 52.

Q., s. 130.

104.—(1.) Where any part of the property of the bankrupt consists of—

(a) land of any tenure burdened with onerous covenants; or

(b) shares or stock in companies; or

(c) unprofitable contracts; or

(d) any other property that is unsaleable, or not readily saleable, by reason of its binding the owner thereof to the performance of any onerous act, or to the payment of any sum of money,

the trustee, notwithstanding that he has endeavoured to sell or has taken possession of the property, or exercised any act of ownership in relation thereto, may, subject to the provisions of this section, by writing signed by him, at any time within twelve months after the first appointment of a trustee, or within such further time as the Court allows disclaim the property:

Provided that where any such property has not come to the knowledge of the trustee within one month after such appointment, he may disclaim the property at any time within twelve months after he first became aware thereof.

(2.) The disclaimer shall operate to determine, as from the date of disclaimer, the rights, interests, and liabilities of the bankrupt and his property in or in respect of the property disclaimed, and shall also discharge the trustee from all personal liability in respect of the property disclaimed as from the date when the property vested in him, but shall not, except so far as is necessary for the purpose of releasing the bankrupt and his property and the trustee from liability, affect the rights or liabilities of any other person.

(3.) Except as prescribed, a trustee shall not be entitled to disclaim a lease without the leave of the Court, and the Court may,

before or on granting such leave, require such notices to be given to persons interested, and impose such terms as a condition of granting leave, and make such orders with respect to fixtures, tenant’s improvements, and other matters arising out of the tenancy, as the Court thinks just.

Q., s. 131.

(4.) The trustee shall not be entitled to disclaim any property in pursuance of this section in any case where—

(a) an application in writing has been made to the trustee by any person interested in the property requiring him to decide whether he will disclaim or not, and

(b) he has, for a period of twenty-eight days after the receipt of the application, or such extended period as is allowed by the Court, declined or neglected to give notice whether he disclaims the property or not.