Bankruptcy is federal law, governed by the Bankruptcy & Insolvency Act. What you can keep if you go bankrupt in Manitoba (called exemptions); however, is governed by provincial legislation.
In Manitoba, you are permitted to keep the following items:
- Furniture, home furnishings, and appliances that the debtor deems necessary for a household, but not exceeding the value of $4500.
- Necessary clothing for the debtor and their family.
- Food and fuel necessary for the debtor and their family for a period of 6 months (or a cash equivalent).
- One motor vehicle not exceeding $3000 when being used for business, or transportation to business/place of employment.
- Tools and other necessities valued at no more than $7500 used for business.
- Articles and furniture necessary for religious practices or services.
- Health aids necessary for debtor and their family (wheelchairs, eye glasses etc).
- Actual residence or home.
Specific exemptions have the potential to be confusing. It is crucial to discuss your property with your Manitoba bankruptcy trustee before filing for bankruptcy.
You should be completely clear on what you can keep if you go bankrupt in Manitoba and which property you may lose if you go bankrupt in Manitoba.