Suspension of the Bankruptcy Liquidation

Abstract

The fact of suspension of bankruptcy liquidation, which is frequently seen in practice, liquaditon doesn’t be because of bankrupt hasn’t assets capable of attachement. The absence of any goods in the Bankrupt’s estate is an issue that should be carefully examined by both the bankruptcy office and the commercial court of in the decision to close. Actually, the decision to suspend the liquidation given before the conditions are subject to complaint review upon request. Moreover, the decision to close the bankruptcy given despite the lack of conditions is also subject to audit at the appeal. Indeed, if there isn’t property in the Bankrupt’s estate, it’s necessary to decide to close the bankruptcy. However, the creditor should be given an opportunity to continue the liquidation if he thinks that the bankrupt hid his property, made savings subject to annulment or that the money remaining from the sale of the pledged property will be sufficient for the liquidation expenses otherwise in cases where the continuation of the liquidation is to the benefit of the creditor due to other facts. This opportunity is provided to the creditor by the institution of the suspension of liquidation. Indeed, in this case the creditor has the right to demand the continuation of the liquidation provided that he pays the necessary expenses. In this context, the suspension of the liquidation means the stopping the liquidation for the interim period between the discovery that there is no property subject to liquidation and the closing of the bankruptcy.