Section 185S — Bankruptcy Act 1966 (Cth)

Validity of things done under a debt agreement that was terminated

If a debt agreement is terminated under section 185P, 185Q, 185QA or 185R, anything that was done in good faith under the agreement by a person before the person had notice of the termination:

(a) is valid; and

(b) cannot be voided by a trustee under section 120, 121 or 122 (whether applying of its own force or under subsection 188A(4)).

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 185Q — Terminating a debt agreement by order of the Court
s 185QA — Terminating a debt agreement—designated 6‑month arrears default
s 185R — Terminating a debt agreement by the bankruptcy of the debtor
s 185T — Applying for an order declaring a debt agreement void
s 185U — Making an order declaring a debt agreement void
s 185V — Validity of things done under a debt agreement that was declared void

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