Re Davis, K.J.

Case [1991] FCA 348


IN THE FEDERAL COURT OF AUSTRALIA )
GENERAL DIVISION )
BANKRUPTCY DISTRICT OF THE
) No. QB 595 of 1990
STATE OF OUEENSLAND 1

m .

RE:  KEVIN JOHN DAVIS

l

EX PARTE:  KEVIN JOHN DAVIS

MINUTES OF ORDER

JUDGE MAKING ORDER:  PINCUS J.
DATE OF ORDER:  3 MAY 1991
WHERE MADE: 
BRISBANE  I

8

!

THE COURT ORDERS THAT:  1 ;

On Mr. Davis undertaking not to engage in business on his own account or as a director of a company for a period of two years from today -

Mr. Davis be discharged from his bankruptcy consequent I -
upon the filing of the debtor's petition of 21 May 1990. ! .
L
i.
1
':
REGISTRY
NOTE:  Settlement and entry of orders is dealt with in Rule I
124 of the Bankruptcy Rules. i

FEDERAL COURTOF

PRINCIPAL

IN THE FEDEW COURT OF AUSTRALIA

GENERAL DIVISION

BANKRUPTCY DISTRICT OF THE 1 No. QB 595 of 1990
STATE OF OUEENSLAND 1
RE:  KEVIN JOHN DAVIS
EX PARTE:  KEVIN JOHN DAVIS

CORAM: PINCUS J.

PLACE: BRISBANE

W: 3 MAY 1991

EX TEMPORE REASONS FOR JUDGMENT

This is an application for discharge in respect of a bankruptcy consequent upon the filing of a debtor's petition. The petition was filed by the applicant, Mr. Davis, on 21 May 1990.

Mr. Davis was formerly made bankrupt in 1987. The law used to be such as to prevent him from obtaining an automatic discharge under s.149 of the Bankruutcv Act 1966,

but was amended by the Law and Justice Leaislation Amendment
& 1990, No. l15 of 1990.

The result of the amendment is to remove from s.149 the provision which formerly was to be found in sub-s.3, precluding an automatic discharge where the bankrupt had become bankrvpt a second time. Now, under s.149Al the result of the of Act No. 115 of 1990 is that l&. Davis has

been discharged from his 1987 bankruptcy. There remains,
however, the 1990 bankruptcy.

The opposition to the discharge comes from the Taxation Department which is a creditor, and it is on the basis that it is desired to examine Mr. Davis' affairs further. Mr. Davis says in answer to that that there has been a considerable amount of examination. Mr. Worrell, the trustee, says in effect in an affidavit that, if funded, he will conduct further examinations, and he mentions areas that he thinks need to be examined.

There is some medical evidence which supports Mr. Davis' assertion that the present situation has been bad for his health, and he says he wants to get back to work and he thinks he may be able to do so. He attributes the trouble which he has suffered largely to malicious actions which he alleges his wife engaged in. It is not possible for me to make a definite finding about that, but on the face of it Mr. Davis has a reasonable case for discharge. As is implicit in

take place and can continue despite the discharge.

Mr. Worrell's affidavit, the investigations, if any, are to

It is, however, the case that he has been bankrupt twice within a relatively short time, and it seems to me desirable not to give him an unconditional discharge. I am therefore prepared to announce that I am willing to give Mr. Davis a discharge if he will undertake not td engage in

business on his own account or as director of a company for a period of two years from today. That is, if Mr. Davis will undertake not to engage in business on his own account or as a director of a company for a period of two years from today, I am prepared to give him a discharge.

On Mr. Davis giving that undertaking, it will be ordered that he be discharged from the bankruptcy consequent upon the filing of the debtor's petition on 21 May 1990.

I certify that this and the

two preceding pages are a true copy of the reasons for judgment herein of his

Honour Mr. Justice Pincus. -
c=&b-wk W%-

Associate

Date 3 Mfiy .lqq1

Details
AGLC
Re Davis, K.J. [1991] FCA 348
Case
[1991] FCA 348
Decision Date

CaseChat Overview and Summary

This case involves an application for discharge in respect of a bankruptcy filed by Mr. Kevin John Davis. The matter was heard in the Federal Court of Australia, General Division, Bankruptcy District of the State of Queensland. The court was required to determine whether Mr. Davis should be discharged from his bankruptcy consequent upon the filing of the debtor's petition on 21 May 1990.

The legal issues for the court to decide included whether Mr. Davis was eligible for an automatic discharge under section 149 of the Bankruptcy Act 1966, which had been amended by the Law and Justice Legislation Amendment Act 1990, No. 115 of 1990, and whether the opposition from the Taxation Department to his discharge was justified. The court also considered the medical evidence provided by Mr. Davis and his intention to return to work.

The court found that Mr. Davis had been discharged from his 1987 bankruptcy under the amended section 149A of the Bankruptcy Act 1966, but remained subject to the 1990 bankruptcy. While acknowledging that Mr. Davis had a reasonable case for discharge, the court noted that he had been bankrupt twice within a short period. Given this, the court was prepared to grant Mr. Davis a discharge on the condition that he undertake not to engage in business on his own account or as a director of a company for a period of two years from the date of the judgment.

The court ordered that Mr. Davis be discharged from his bankruptcy consequent upon the filing of the debtor's petition on 21 May 1990, on the condition that he undertakes not to engage in business on his own account or as a director of a company for a period of two years from the date of the judgment.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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