New Zealand Legislation: Acts

30 Effect of overstatement of amount owing

• (1) Overstatement in a bankruptcy notice of the amount owing by the debtor does not invalidate the notice, unless—

  • (a) the debtor notifies the creditor that the debtor disputes the validity of the notice because it overstates the amount owing; and

  • (b) the debtor makes that notification within the time specified in the notice for the debtor to comply with the notice.

  (2) A debtor complies with a notice that overstates the amount owing by—

  • (a) taking steps that would have been compliance with the notice had it stated the correct amount owing (for example, by paying the creditor the correct amount owing plus costs); and

  • (b) taking those steps within the time specified in the notice for the debtor to comply.

  Compare: 1967 No 54 s 20(b)