Apply to annul (cancel) a bankruptcy order (from 1 April 2022)

What annulment of bankruptcy means

An annulment of a bankruptcy order has the effect of putting the debtor in the same position as if no bankruptcy order has been made against him, but it does not release the debtor from any provable debts which have not been filed against him when the bankruptcy was in force.

There are generally 2 ways to annul a bankruptcy order:

• Annulment by the court: The General Division of the High Court may annul a bankruptcy order according to Section 392 of the Insolvency, Restructuring and Dissolution Act (IRDA).
• Annulment by the Official Assignee: The Official Assignee may issue a certificate of annulment if it appears to the Official Assignee that the debts which have been proved and the expenses of the bankruptcy have all been paid since the making of bankruptcy order. Refer to Section 393 of the IRDA for more information.
  

Alternatively, if a bankrupt makes a proposal for a composition in satisfaction of the debts due under bankruptcy or for scheme of arrangement of the bankrupt’s affairs, and if the composition or scheme is accepted by all creditors, the Official Assignee may annul the bankruptcy order by issuing a certificate of annulment under section 358(1)(b) of the IRDA. If the composition or scheme is accepted by a majority (in number) of the creditors representing at least 75% of the total debts owed, the Official Assignee may discharge the bankrupt by issuing a certificate of discharge under section 358(1)(a) of the IRDA.

Please visit the Ministry of Law Insolvency Office for more information on discharge from bankruptcy. 

Apply for annulment by the court

The court may annul a bankruptcy order if any of the conditions under Section 392(1) of the IRDA are met. Examples include:

• The order ought not to have been made, based on any ground (reason) existing at the time the order was made.
• Since the making of the order, both the debts and the expenses of the bankruptcy have all either been paid or secured for to the court's satisfaction, to the extent required by the regulations.

Refer to Section 392 of the IRDA for more information

When to apply

An application to annul a bankruptcy order under Section 392(1)(a) of the IRDA must be made to the court within 12 months after the making of the bankruptcy order, unless the court gives permission for the application to be made later.

For all other applications to annul a bankruptcy order, there is no specific timeframe to apply.

What you will need

You will need to prepare the following documents:

• A Summons (see Appendix A of the Supreme Court Practice Directions 2021 for Form 1 of the Rules of Court 2021).
• A supporting affidavit.
  • Refer to Rule 137(2) of the Insolvency, Restructuring and Dissolution (Personal Insolvency) Rules for more information.

Note: You must swear or affirm the affidavit before a Commissioner for Oaths (CFO). You should only sign the affidavit when you are in the presence of a CFO. Find out how to arrange for CFO services if you are not represented by a lawyer.

Estimated fees

Refer to the Third Schedule of the Insolvency, Restructuring and Dissolution (Personal Insolvency) Rules for the full list of fees. Examples of some of the fees include:

Note: This table does not include additional fees payable to the LawNet & CrimsonLogic Service Bureau, such as transmission and processing fees for applications filed through the LawNet & CrimsonLogic Service Bureau and its handling fees.

How to apply

If you are not represented by a lawyer, follow these steps to file your application in the General Division of the High Court:

1. File the documents via eLitigation

Visit the LawNet & CrimsonLogic Service Bureau to file your prepared documents.

2. Collect the endorsed documents

The Service Bureau will notify you via email or SMS of whether your application documents have been accepted by the courts.

If the court accepts your application documents, you will be asked to return to the Service Bureau to collect an endorsed copy of the documents. This will include the date and time of a hearing that you must attend.

3. Serve the documents

You must serve a sealed copy of the application and a copy of the supporting affidavit personally on the trustee.

After you file

You must attend the hearing on the appointed date and time.

Tip: If you are unable to attend, you must make a request to change the court date, which is subject to the court's approval.

At the hearing, the court will determine the merits of your application and decide whether to allow or dismiss it.

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