AGADVOKS GLOBALKENYA · ENGLISH
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Insolvency Act

210. Limits on what can be recovered

Edition: 2022-12-31 · In force

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210. Limits on what can be recovered

The Court may not make an order under section 209 against a person if the person proves that when the person received the property or interest in the property—
(a)the person acted in good faith;
(b)a reasonable person in the same position would not have suspected that—
(i)in the case of an insolvent gift, the bankrupt was, or would become, unable to pay the bankrupt's debts without the aid of the property that the gift is composed of; or
(ii)in the case of any other irregular transaction of a kind to which section 208 applies, the bankrupt was, or would become, unable to pay the bankrupt's due debts; and
(c)the person gave value for the property or interest in the property or altered the person's position in the reasonably held belief that the transfer of the property or interest in the property to the person was valid and would not be cancelled.
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Source: Kenya Law