Bankruptcy and Insolvency Act

Marginal note:Purchaser in good faith at sale protected

• 73 (1) An execution levied by seizure and sale of the property of a bankrupt is not invalid by reason only of its being an act of bankruptcy, and a person who purchases the property in good faith under a sale by the sheriff acquires a good title thereto against the trustee.

• Marginal note:Sheriff to deliver property of bankrupt to trustee

  (2) Where an assignment or a receiving order has been made, the sheriff or other officer of any court or any other person having seized property of the bankrupt under execution or attachment or any other process shall, on receiving a copy of the assignment or the receiving order certified by the trustee as a true copy thereof, forthwith deliver to the trustee all the property of the bankrupt in his hands.

• Marginal note:In case of sheriff’s sale

  (3) Where the sheriff has sold the property of a bankrupt or any part thereof, he shall deliver to the trustee the money so realized by him less his fees and the costs referred to in subsection 70(2).

• Marginal note:Effect of bankruptcy on seizure of property for rent or taxes

  (4) Any property of a bankrupt under seizure for rent or taxes shall on production of a copy of the receiving order or the assignment certified by the trustee as a true copy thereof be delivered forthwith to the trustee, but the costs of distress are a first charge thereon, and, if the property or any part thereof has been sold, the money realized therefrom less the costs of distress and sale shall be paid to the trustee.