Section 108 — Bankruptcy Act 1966 (Cth)

Debts proved to rank equally except as otherwise provided

Except as otherwise provided by this Act, all debts proved in a bankruptcy rank equally and, if the proceeds of the property of the bankrupt are insufficient to meet them in full, they shall be paid proportionately.

Note: The rules under this Subdivision for payments of debts can be affected by proceeds of crime orders and applications for proceeds of crime orders: see Subdivision B.

Sourced from the Federal Register of Legislation at 26 May 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au. Verify the current text against the official source before relying on it.

Related sections

s 105 — Costs of appeal
s 106 — Trustee may administer oaths etc.
s 107 — Creditor not to receive more than the amount of his or her debt and interest
s 109 — Priority payments
s 109A — Debts due to employees
s 110 — Application of estates of joint debtors

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