Bankruptcy Law

1. The court may order that an asset be subjected to a financial restructuring procedure if the debtor jointly owns such asset with another person and it is not possible to divide said asset between them, without prejudice to the rights of the creditors of the debtor and the creditors of the co- owner of such asset. 2. The court may order that another person, on whom the conditions of the initiation of the procedure apply, be subjected to the procedure if it is in his interest and the interest of the debtor, and that applying separate procedures for each is costly or infeasible, provided the rights of the creditors of the debtor and the creditors of the other person are protected. Article 50 Effects of the Initiation of the Procedure (Appointment and Powers of Trustee, Expert, and Overseeing Judge) 1. In its decision to initiate a financial restructuring procedure, the court shall appoint a listed trustee. The petitioner for the initiation of the procedure may propose to the court the name of the listed trustee to be appointed. 2. In the appointment of the trustee, his financial capabilities and academic qualifications, as well as the qualifications of his team shall be taken into consideration. 3. The trustee shall exercise due diligence vis-a-vis creditors’ interests. 4. Without prejudice to paragraph (2) of this Article, the trustee may, upon the court's approval, delegate certain duties to a listed trustee or expert, when necessary, provided that such duties are clearly specified in the court’s decision. 5. The court may, when necessary, appoint more than one trustee to jointly act in accordance with this Law and the court's instructions, provided the court appoints a chairman from among them. The trustees shall be jointly liable for their actions. The Regulations shall set forth their work procedures. 6. The trustee shall deposit a copy of the court’s decision to initiate the procedure and of his appointment in the Bankruptcy Register. Article 51 (Appointment and Powers of Trustee, Expert, and Overseeing Judge) The court may, upon the request of the trustee, appoint an expert from the list of experts or any other expert to assist the trustee in the discharge of his duties. Article 52 (Appointment and Powers of Trustee, Expert, and Overseeing Judge) 1. The following shall not be appointed as trustees or experts: a) The debtor’s creditor, spouse, son-in-law, or relative up to the fourth degree. b) The debtor’s partner, employee, auditor, or agent during the two years preceding the initiation of the procedure. 2. Prior to his appointment, the trustee or the expert shall disclose to the court his relationship with the debtor and creditors, and the trustee must disclose his relationship with the creditors upon submitting the statement of claims to the court. 3. If the trustee or the expert violates paragraph (2) of this Article, he shall be dismissed without the right to receive any fees. Article 53 (Appointment and Powers of Trustee, Expert, and Overseeing Judge) The court, at its discretion, may appoint one or more judges to oversee the financial restructuring procedure and determine their duties. Article 54 (Appointment and Powers of Trustee, Expert, and Overseeing Judge) 1. The court may, on its own motion or upon the request of a person with interest, dismiss the trustee and appoint a new listed trustee, or dismiss the expert and appoint a new expert from the list of experts or any other expert, if sufficient grounds for dismissal exist, without prejudice to his rights and obligations. 2. A trustee or expert shall not resign after his appointment without legitimate reasons acceptable to the court, without prejudice to his rights and obligations. Article 55 (Appointment and Powers of Trustee, Expert, and Overseeing Judge) The Regulations shall specify the manner in which to determine the fees of the trustee and the expert, and any other related expenses.