<\/p>\n
Author: Violetta Fedorko<\/strong>, lawyer at Dynasty Law & Investment<\/em><\/p>\n Continuing the review of the amendments to the Code of Ukraine on Bankruptcy Procedures (hereinafter referred to as the Code of Ukraine on Bankruptcy Procedures), adopted on March 20, 2023, it is necessary to dwell on the changes regarding the insolvency (bankruptcy) procedure of natural persons, namely on the solution of the question: “What to do if creditors have not declared their requirements within the established time frame?”.<\/p>\n Therefore, the debtor applied to the court for the opening of bankruptcy proceedings against him, and the court opened the proceedings and obliged all existing creditors to state their claims within 30 days from the day of the opening of the proceedings (in accordance with the norms of the Code of Civil Procedure).<\/p>\n However, in practice, creditors (banks, MFIs and other non-banking institutions, etc.) ignore the above-mentioned requirements of the court and do not state their requirements in the bankruptcy procedure of individuals, wishing to wait for the closure of the proceedings and remain with the debtor “one on one” for extrajudicial debt collection according to their own rules.<\/p>\n Currently, there is a fairly well-established judicial practice, which clearly establishes the following: in the event that the creditors do not submit their demands within the terms set by the court, the court closes the proceedings on the basis of Clause 8, Part 1 of Article 90 of the Code of Criminal Procedure – due to the debtor’s lack of signs of insolvency.<\/p>\n Although such a legal position does not deprive the debtor of the opportunity to appeal to the court again, it clearly plays in favor of unscrupulous creditors who do not want to go through the bankruptcy procedure of individuals.<\/p>\n However, the government made appropriate changes to Art. 90 KUzPB. From now on, if after the initiation of insolvency proceedings against the debtor – a natural person, no claims are made, the court in the decision to close the proceedings notes that the claims, which were not filed within the prescribed time or were rejected by the court, are considered repaid, and executive documents for such requirements are not subject to execution.<\/p>\n Thus, a significant gap in the legislation on bankruptcy of natural persons, which existed since the adoption of the Civil Code, has finally been eliminated, and an effective mechanism of influence on unscrupulous creditors has been implemented, which will encourage them to declare their claims in advance and take part in bankruptcy cases of natural persons.<\/p>\n <\/p>","protected":false},"excerpt":{"rendered":" Author: Violetta Fedorko, lawyer at Dynasty Law & Investment Continuing the review of the amendments to the Code of Ukraine on Bankruptcy Procedures (hereinafter referred to as the Code of Ukraine on Bankruptcy Procedures), adopted on March 20, 2023, it is necessary to dwell on the changes regarding the insolvency (bankruptcy) procedure of natural persons, […]<\/p>\n","protected":false},"author":4489,"featured_media":474281,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false},"categories":[24,23],"tags":[],"yoast_head":"\n