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The Insolvency (Northern Ireland) Order 1989

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This is the original version (as it was originally made).

Rights of occupation, etc., of bankrupt’s spouse

309.—(1) Nothing occurring in the initial period of the bankruptcy (that is to say, the period beginning with the day of the presentation of the petition for the bankruptcy order and ending with the vesting of the bankrupt’s estate in a trustee) is to be taken as having given rise to any rights of occupation under the Family Law (Miscellaneous Provisions) (Northern Ireland) Order 1984(1) in relation to a dwelling house comprised in the bankrupt’s estate.

(2) Where a spouse’s rights of occupation under the Order of 1984 are a charge on the estate or interest of the other spouse, or of trustees for the other spouse, and the other spouse is adjudged bankrupt—

(a)the charge continues to subsist notwithstanding the bankruptcy and, subject to the provisions of that Order, binds the trustee of the bankrupt’s estate and persons deriving title under that trustee, and

(b)any application for an order under Article 4 of that Order shall be made to the High Court.

(3) Notwithstanding any provision of the Partition Act 1868(2), where a person and his spouse or former spouse have a legal or equitable estate in a dwelling house vested in them jointly or as tenants in common and that person is adjudged bankrupt, in a suit for partition maintained by the trustee of the bankrupt’s estate the High Court may make such order as it thinks fit.

(4) On an application such as is mentioned in paragraph (2) or in a suit such as is mentioned in paragraph (3) the High Court shall make such order under paragraph (3) or Article 4 of the Order of 1984 as it thinks just and reasonable having regard to—

(a)the interests of the bankrupt’s creditors,

(b)the conduct of the spouse or former spouse, so far as contributing to the bankruptcy,

(c)the needs and financial resources of the spouse or former spouse,

(d)the needs of any children, and

(e)all the circumstances of the case other than the needs of the bankrupt.

(5) Where such an application is made or such a suit is maintained after the expiration of one year from the first vesting under Chapter IV of the bankrupt’s estate in a trustee, the High Court shall assume, unless the circumstances of the case are exceptional, that the interests of the bankrupt’s creditors outweigh all other considerations.

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