Bankruptcy ends when an individual receives a discharge from bankruptcy. In most cases, the trustee issues a certificate of discharge at the expiration of a prescribed period of time (e.g., nine (9) or 21 months for a first-time bankrupt; or 24 or 36 months for a second-time bankrupt). The bankrupt must have fulfilled all of the duties and obligations described above before he or she can receive a discharge.
In some cases, the trustee is unable to issue a certificate of discharge and must set a discharge hearing in court. A court hearing is required where the bankrupt has failed to fulfill his or her duties; where the bankrupt has been bankrupt on more than two occasions; where the bankrupt is a high personal income tax debtor; or where a creditor opposes the bankrupt’s discharge. Where a court hearing is required, the court will decide on the appropriate order of discharge, and it may require that the bankrupt fulfill additional obligations before being discharged from bankruptcy.
Certain debts are not released by a discharge from bankruptcy. Click here for a list of those debts.
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