Debts not released by order of discharge
(Section 178)
(1)
An order of discharge does not release the bankrupt from:
(a) Any fine, penalty, restitution order or other order similar in
nature to a fine, penalty or restitution order, imposed by a court in
respect of an offence, or any debt arising out of a recognizance or bail;
(a.1)Any award of damages by a court in civil roceddings in respect of
(i) bodily harm intentionally inflicted, or sexual assult, or
(ii) wrongful death resulting therefrom;
(b) Any debt or liability for alimony;
(c) Any debt or liability under a support, maintenance or affiliation
order or under an agreement for maintenance and support of a spouse or child
living apart from the bankrupt;
(d) Any debt or liability arising out of fraud, embezzlement,
misappropriation or defalcation while acting in a fiduciary capacity;
(e) Any debt or liability for obtaining property by false pretences or
fraudulent misrepresentation;
(f) Liability for the dividend that a creditor would have been entitled
to receive on any provable claim not disclosed to the trustee, unless the
creditor had notice or knowledge of the bankruptcy and failed to take
reasonable action to prove his claim.
(g) Any debt of obligation in respect of a loan made under the Canada Student Loans Act, the
Canada Student Finacial Assistance Act or any enactment of a province that provides for
loans or guarantees of loans to students where the date of bankruptcy occurred
(i) before the date on which the bankrupt ceased to be a full- or part-time student,
as the case may be, under the applicable Act or enactment, or
(ii) within ten years after the date on which the bankrupt ceased to be a full- or part-time
student; or
(h) any debt for interest owed in relation to an amount referred to in any of paragraphs (a) to (g)
(1.1)
Court may order non-application of subsection (1) -- At any time after two years
after a bankrupt who has a debt referred to in paragraph (1)(g) ceases to be a full-
or part-time student, as the case may be, under the applicable Act or enactment, the
court may, on application, order that subjection (1) does not apply to the debt if the court is satisfied that
(a) the bankrupt has acted in good faith in connection with the bankrupt's liabilities under the load; and
(b) the bankrupt has and will continue to experience financial difficult to such and extent that the
bankrupt will be unable to pay the liabilities under the loan
(2)
Subject to subsection (1) an order of discharge releases the bankrupt from
all claims provable in bankruptcy.
