DEVELOPMENTS IN THE UNITED STATES’ CONSUMER BANKRUPTCY LAW: A SOUTH AFRICAN PERSPECTIVE

Abstract

The United States Congress’s enactment of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 has produced the most significant revision of consumer bankruptcy law in over a century. The tale of the South African attempt to adopt new legislation started in the late ’80s and has not yet managed to culminate in the promulgation of modern and effective insolvency legislation. This article examines the developments in the United States consumer bankruptcy law from a South African perspective. The question arises whether in order to develop legislation which would be a more accurate reflection of current South African economic and social environmental circumstances, we should not reassess some of the deep-rooted principles in the South African insolvency law.