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Section161
The Insolvency and Bankruptcy Code, 2016

Notice to disclaim onerous property

In force Act 31 of 2016 As on 20 Oct 2026

Act 31 of 2016 Ministry Corporate Affairs Enacted 28 May 2016

Section 161 of the Insolvency and Bankruptcy Code, 2016 deals with notice to disclaim onerous property. No notice of disclaimer under section 160 shall be necessary if— (a) a person interested in the onerous property has applied in writing to the bankruptcy trustee or his predecessor requiring him to decide whether the onerous property should be disclaimed or not; The Act was enacted on 28 May 2016.

(1) No notice of disclaimer under section 160 shall be necessary if—

(a) a person interested in the onerous property has applied in writing to the bankruptcy trustee or his predecessor requiring him to decide whether the onerous property should be disclaimed or not; and

(b) a decision under clause (a) has not been taken by the bankruptcy trustee within seven days of receipt of the notice.

(2) Any onerous property which cannot be disclaimed under sub-section (1) shall be deemed to be part of the estate of the bankrupt.

Explanation.—For the purposes of this section, an onerous property is said to be disclaimed where notice in relation to that property has been given by the bankruptcy trustee under section 160.

Section 161, The Insolvency and Bankruptcy Code, 2016 (Act 31 of 2016).

Cross-references

Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.

This section refers to

  1. s. 160 Onerous property of bankrupt

Questions about Section 161

What does Section 161 of the Insolvency and Bankruptcy Code deal with?

Section 161 of the Insolvency and Bankruptcy Code is headed "Notice to disclaim onerous property". No notice of disclaimer under section 160 shall be necessary if— (a) a person interested in the onerous property has applied in writing to the bankruptcy trustee or his predecessor requiring him to decide whether the onerous property should be disclaimed or not;

How do I find court cases under Section 161 of the Insolvency and Bankruptcy Code?

In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Insolvency and Bankruptcy Code 161, section 161 Insolvency and Bankruptcy Code, section 161 of the Insolvency and Bankruptcy Code. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.

What should I read with Section 161 of the Insolvency and Bankruptcy Code, and has it changed?

Its own text turns on section 160 (Onerous property of bankrupt), so none of them can safely be read on its own.

When was Section 161 of the Insolvency and Bankruptcy Code enacted?

Section 161 of the Insolvency and Bankruptcy Code, cited as Insolvency and Bankruptcy Code 161, was enacted on 28 May 2016 as Act 31 of 2016. It is in force as at the date shown on this page.

Other sections of this Act

Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 20 Oct 2026. This page is not a substitute for legal advice.