What is the test for reducing the 80% default exemption from a debtor’s debt?
Ontario, Canada
The following excerpt is from Tribecca Finance Corporation v. Tabrizi, 2018 ONSC 486 (CanLII):
In determining whether a reduction in the 80% default exemption is just, I must “strike a balance between the interests of the creditors in obtaining an expeditious payment in full of the amounts owed to them and the ability of debtors to continue to earn money that will be used to discharge their debts, and to support themselves and their dependants.” Dhaliwal v. Ontario, supra, at para.14. For the reasons set out below, I have concluded that an 80% exemption does not strike an appropriate balance in this case.
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