Can an estate seek a voluntary assignment into bankruptcy in Ontario?
The Bankruptcy and Insolvency Act (BIA) contains a mechanism, under section 49(1), that lets an estate—through its executor or administrator—seek court leave to make a voluntary assignment into bankruptcy. A creditor can oppose that leave. Whether leave is granted is a separate question that was not decided in this endorsement; it depends on facts that must be proven on a solid evidentiary record before a judge with jurisdiction.
This issue came before the Ontario Superior Court of Justice in Re Guery Rinaldo Goyo, 2026 ONSC 4946 (CanLII). The estate sought leave under section 49(1) and a creditor opposed it. The endorsement decided only who can hear that opposed…