Bankruptcy Law

Competent Authority: The authority in charge of regulating, monitoring, and overseeing the business of the regulated entity. Bankruptcy Trustee or Trustee: A person who is appointed by the court or the petitioner, as the case may be, to perform the tasks and duties assigned to him according to the type of procedure, including the financial restructuring trustee and the liquidation trustee. Bankruptcy Trustee List: A list prepared by the Bankruptcy Committee which includes bankruptcy Trustees or Trustees who satisfy the conditions specified in the Regulations. List of Experts: A list prepared by the Bankruptcy Committee which includes experts who satisfy the conditions specified in the Regulations. Protective Settlement Procedure: A procedure which aims to facilitate an agreement between the debtor and his creditors to settle his debts, where the debtor maintains the right to manage his business. Financial Restructuring Procedure: A procedure which aims to facilitate an agreement between the debtor and his creditors for the financial restructuring of the debtor’s business under the supervision of the financial restructuring trustee. Liquidation Procedure: A procedure which aims to list the claims of creditors, selling the bankruptcy assets, and distribute the proceeds thereof among creditors under the supervision of the liquidation trustee. Administrative Liquidation Procedure: A procedure which aims to sell bankruptcy assets whose sale proceeds are not expected to cover the charges of the liquidation procedure or the small debtors' liquidation procedure under the supervision of the Bankruptcy Committee. Assets: Movable and immovable assets, intellectual property rights, current or future receivables, and any rights attached thereto, as well as other assets which may have current or future financial value. Bankruptcy Assets: The debtor’s assets on the date of initiation of any of the bankruptcy procedures provided for in this Law or during the validity of any of the bankruptcy procedures. Moratorium: Suspension of the right to take or complete any procedure, action, or lawsuit against the debtor, his assets, or the guarantor of his debts during a specific period stipulated in this Law. Bankruptcy Debts: Debts proven to be owed by the debtor at the date of initiation of any of the liquidation procedures stipulated in this Law, or arising from contracts or liabilities prior to the date of initiation of any of such procedures, including debts of a natural person debtor arising from commercial or professional activities, any activity aiming to generate profit, or other debts. Commercial Activity: Any of the commercial activities provided for in relevant laws. Professional Activity: Any activity practiced by a person as a profession for his own account, based on expertise, qualification, talent, or skill, without an employment contract with a beneficiary rendering him a subordinate thereto or subject to his control and supervision. Bankruptcy Register: A register which is created, managed, and maintained by the Bankruptcy Committee under this Law. Judicial Depository: A submission to the court by the trustee, who is assigned by the small debtor or the competent authority, of a decision issued by those who have assigned him to initiate a financial restructuring procedure or a small debtors' liquidation procedure, in compliance with the legal requirements and subject to the court's approval of depositing the same. Proposal: A proposal for the initiation of a protective settlement procedure, small debtors' protective settlement procedure, financial restructuring procedure, or small debtors' financial restructuring procedure, which shall be voted on. Plan: An approved or confirmed proposal, depending on the type of procedure.