Document ID: chunk:federal_register_of_legislation:C2025C00167:section:116:p1
Version: federal_register_of_legislation:C2025C00167
Segment Type: section
Provision Reference: s 116 (pt 1/5)
Character Range: 305149–307779

116  Property divisible among creditors
 (1) Subject to this Act:
 (a) all property that belonged to, or was vested in, a bankrupt at the commencement of the bankruptcy, or has been acquired or is acquired by him or her, or has devolved or devolves on him or her, after the commencement of the bankruptcy and before his or her discharge; and
 (b) the capacity to exercise, and to take proceedings for exercising all such powers in, over or in respect of property as might have been exercised by the bankrupt for his or her own benefit at the commencement of the bankruptcy or at any time after the commencement of the bankruptcy and before his or her discharge; and
 (c) property that is vested in the trustee of the bankrupt's estate by or under an order under section 139D or 139DA; and
 (d) money that is paid to the trustee of the bankrupt's estate under an order under section 139E or 139EA; and
 (e) money that is paid to the trustee of the bankrupt's estate under an order under paragraph 128K(1)(b); and
 (f) money that is paid to the trustee of the bankrupt's estate under a section 139ZQ notice that relates to a transaction that is void against the trustee under section 128C; and
 (g) money that is paid to the trustee of the bankrupt's estate under an order under section 139ZU;
is property divisible amongst the creditors of the bankrupt.
 (2) Subsection (1) does not extend to the following property:
 (a) property held by the bankrupt in trust for another person;
 (b) the bankrupt's household property that is:
 (i) of a kind prescribed by the regulations; or
 (ii) identified by a resolution passed by the creditors before the trustee realises the property;
 (ba) personal property of the bankrupt that:
 (i) has sentimental value for the bankrupt; and
 (ii) is of a kind prescribed by the regulations; and
 (iii) is identified by a special resolution passed by the creditors before the trustee realises the property;
 (c) the bankrupt's property that is for use by the bankrupt in earning income by personal exertion and:
 (i) does not have a total value greater than the limit prescribed by the regulations; or
 (ii) is identified by a resolution passed by the creditors; or
 (iii) is identified by an order made by the Court on an application by the bankrupt;
 (ca) property used by the bankrupt primarily as a means of transport, being property whose aggregate value does not exceed the amount prescribed by the regulations or, if before the trustee realises the last‑mentioned property the creditors determine by resolution a greater amount in relation to that property, that greater amount;
 (d) subject to