Cases

The bailiff does not waive distraint- in bankruptcy

In one of the cases handled by our Office the following question appeared. Whether, in case of insolvency and simultaneous suspension of execution proceedings conducted against the debtor, enforcement officer may revoke seizures held in the course of execution?

Such right unquestionably belongs to the judge - commissioner, who on the basis of art. 140 par. 3 of The Law on Bankruptcy and Reorganization may revoke the seizure effected prior to the declaration of bankruptcy in the execution proceedings relating to a claim included by virtue of law in the arrangement, if it is necessary for the further operation of the enterprise.

From the point of view of the debtor in bankruptcy with the possibility of entering into an arrangement it is particularly important to gain a quick access to the means to conduct business.

However, Bankrupt can not count on this matter on the enforcement officer. Pursuant to the art. 179 § 3 Code of Civil Procedure appropriately used in executive proceedings, during the stay of proceedings it is only possible to take steps to discontinue or to resume the proceedings.

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