Personal Legal Procedures

Since its introduction in 1967, the Insolvency Act 1967, formerly known as the Bankruptcy Act 1967, has undergone various amendments. The Act came into force on 6 November 2017. The reform was crucial as the legislature intended to help creditors and debtors in bankruptcy cases. This article will briefly discuss eight critical amendments to the law relating to bankruptcy cases in Malaysia. 1) Immunity of a social guarantor Section 2...

A person who is declared bankrupt may end his bankruptcy either by way of discharge or annulment. An annulment refers to the termination of a Bankruptcy Order against a bankrupt as if he had never been declared bankrupt. On the other hand, a discharge from a bankruptcy order releases a bankrupt from all debts provable in bankruptcy except for debts due to the Government, State, and Attorney General in respect...

Bankruptcy—a legal situation where someone is unable to repay their creditors—is sadly surprisingly common in Malaysia and in other countries too. It isn’t only those who spend recklessly who find themselves bankrupt; it can affect anyone, regardless of their circumstances. It can be a frightening prospect, but if you know the law relating to bankruptcy and insolvency then you can give yourself the best chance of getting through it and...