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Practice Note: The BIA Preferences Provisions — Section 95

September 09, 2013

Written By Mark Laugesen, Karma Dolkar and Danish Afroz

This practice note discusses the preferences provisions in the Bankruptcy and Insolvency Act, including the condition precedents for a bankruptcy trustee to attack a transaction entered into by a bankrupt debtor as a preference, and the relevance of the transaction being at arm's length in the application of certain conditions under the preferences provisions. This practice note also discusses the rebuttable presumption that arises if the transaction had the effect of preferring the creditor, and the ways by which the presumption can be rebutted. Published by Lexis Practice Advisor Canada – Insolvency.

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