Nonprovable Debt Law and Legal Definition
Nonprovable debts refer to debts that cannot be claimed in bankruptcy proceedings. For example, debts barred by statute. A creditor in respect of a non-provable debt cannot participate in the winding up, bankruptcy proceedings or share in any dividend paid.
A nonprovable debt is different from a disallowed debt. When an alleged debt or obligation is ascertained to be invalid and without lawful existence, the claim based thereon is necessarily disallowed.
"Discharge in bankruptcy shall release a bankrupt from all of his provable debts. Nonprovable debts were precluded from discharge. Instead, the claimant was able to prosecute his claim after discharge”. [Pettibone Corp. v. Ramirez, 90 B.R. 918, 923 (Bankr. D. Ill. 1988)]
Legal Definition list
- Nonproprietary ATM
- Nonprofit School Food Service
- Nonprofit Organizations and Taxes
- Nonprofit Organizations and Human Resources Management
- Nonprofit Organizations
- Nonprovable Debt
- Nonprovisional Application [Patents]
- Nonpublic Personal Information
- Nonpunitive Grade [Educational Assistance Programs]
- Nonpurchaser Confusion
- Nonqualified Deferred Compensation Plans