The Legal Regime of Basic Multiplicities in Bankruptcy Proceedings

The paper substantiates the position that the entrepreneurial market is no longer a collection of individual participants one way or another interacting with each other through voluntary communication "clothed" in a legal form, but a potentially interdependent network, the presence of which is found in the conditions of a property crisis of one of its elements. In this vein, the bankruptcy procedure is an arena for the collision of multidirectional interests of multiplicities discovered in this process, the most important of which are the unions of the meeting of creditors. They engage persons included, together with the debtor, in a corporate group, qualified by the author as multiplicities of simple partnerships. These partnerships have a specific purpose, they arise at the moment of capital pooling (initiated by a corporate group) or objective bankruptcy (initiated by independent creditors), they are endowed with a certain amount of powers within the framework of the bankruptcy procedure with due regard to the specifics of their status and they cease to exist at the moment of an actual achievement of the set goal, which is not always connected with the termination of the trial. A feature of the studied varieties of a simple partnership is the predominant involuntary association of its participants when they are forced to interact with each other due to the insolvency of their counterparty. The uniqueness of this type of a partnership is manifested, among other things, in the form of a contribution to such a partnership, since, entering into civil law relations at the time of the objective solvency of the future debtor, his counterparties do not realize that their reciprocal contribution under the obligation is nothing more than "contribution" to the property (potentially bankruptcy) assets of the future partnership that arises at the time of actual bankruptcy of the person with whom they enter into a legal relationship. In addition, the author demonstartes the need to clarify the legal nature of this type of partnership, of which the debtor and related persons are members, in order to prevent the latter from participating in the bankruptcy process along with the debtor's independent creditors.

Analysis of the Issue of Real Rights for Security in the Perspective of Bankruptcy Law

Objectives: China’s opening to the outside world is getting higher and higher, which effectively promotes China’s economic development. Under such economic development background, more and more different kinds of economic situations appear in the market. Methods: The continuous progress and development of society has provided good conditions for the perfection of bankruptcy law and guarantee law. In the process of dealing with collateral in bankruptcy law, the complexity of its environment leads to the interaction between bankruptcy law and guarantee law. Results: From the perspective of law enforcement, there are still some incompatibilities between China’s guarantee law and bankruptcy law to be solved. This paper discusses the real right for security from the perspective of bankruptcy law, and analyzes the issues related to the development of bankruptcy law and security law that affect the real right for security, aiming at providing assistance for the healthy and orderly development of the industry. Conclusion: In the research, we need to pay close attention to the various processes of bankruptcy procedure and the implementation methods of real right for security, so as to ensure the responsibility system of real right protection.

Public danger of bankruptcy offenses in modern Russia

The article aims at studying the Russian criminal legislation on the insolvency (bankruptcy) procedure over the past 15 years. An important indicator of the deterioration of bankruptcy cases is the judicial practice discussed in the article. The main method for studying the issue in question was the statistical method which allows to consider some court cases indicative for Russia and draw certain conclusions about prospects for the development of the Russian legislation on criminal liability for bankruptcy (insolvency) offenses in modern Russia. This scientific article also uses the method of system analysis, the historical method, deduction, induction, etc. The article concludes that bankruptcy abuse is a dynamic and rapidly changing environment due to the constant emergence of new forms of such abuse by the subjects of these legal relations. Therefore, the current legislation is not always able to resolve emerging issues in this area.

PAYMENT OF REMUNERATION TO THE ARBITRATION MANAGER IN BANKRUPTCY: THEORETICAL AND PRACTICAL PROBLEMS

The arbitral trustee faces many problems in his work, but the most important is question about pay for his services. The purpose of the article is to study the legal regulation of remuneration to the trustee in bankruptcy, identify problems that arise in practice in the application of the relevant provisions of the Code of Ukraine on Bankruptcy Procedure and highlight on this basis the author’s vision of the remuneration of the trustee in bankruptcy. The authors argued the introduction of a provision on the appointment of an arbitral trustee to perform the powers of the administrator of property in the event of bankruptcy proceedings on the application of the initiating creditor as a permanent one, which will work after the launch of the Unified Judicial Information and Telecommunication System. This will allow to adhere to the principle of dispositiveness, as one of the principles of the Code of Ukraine on Bankruptcy Procedure, according to which the bankruptcy procedure is carried out. Based on the results of the study, the authors conclude that the arbitral trustee should be able to choose in which bankruptcy case to participate, and which to refuse, what amount of remuneration he should receive and so on. In reorganization and liquidation proceedings, only creditors (through the creditors’ committee) should elect an arbitration trustee to perform the powers of the reorganization trustee and liquidator. Creditors must pay a fee to the trustee if they are interested in settling their claims. The arbitral trustee shall exercise his / her powers for a fee, which shall consist of a principal and an additional fee. The arbitration trustee may also receive funds from creditors from the fund to advance the monetary reward. It is necessary to distinguish between the concepts of “the emergence of the right to monetary remuneration” and “payment of monetary remuneration”. The emergence of the right to monetary remuneration means that only the first condition has come — the payment deadline. However, the payment of monetary remuneration is not automatic, as only creditors can assess the effectiveness of the arbitral trustee in the procedure of disposition of property.

Formulating a stand-alone paradigm of the concepts Bankruptcy and Insolvency of legal entities

Subject. The terms, such as Bankruptcy and Insolvency, are used in various regulatory documents of the Russian Federation. The protracted economic crisis due to the pandemic urges to solve disputable issues and improve the legal framework of the business bankruptcy procedure. Objectives. The study provides a rationale for formulating standalone paradigms for bankruptcy and insolvency for scientific and practical purposes, aligning development phases of the national institution of bankruptcy. Methods. The study relies upon general and partial methods of research. Based on the retrospective analysis, we sorted evolutionary phases of bankruptcy as a national institution. Conducting a comparative analysis, we inferred the inequality of the two synonymous concepts. Results. Based on the comprehensive approach to dealing with disputable issues, we provided a rationale for diverging bankruptcy and insolvency. We believe that the reconstruction should start with the renaming of the respective federal regulation, being followed by developing its content. We analyzed various approaches to comparing insolvency and bankruptcy, spotlighted development milestones of the national legislation and presented our own vision of the origination of bankruptcy as a national institution, pointing out five phases and naming each of them. Conclusions and Relevance. The term Bankrupt is of European origin and came to Russia during the reign of Peter the Great. Currently, the terms Bankruptcy and Insolvency permeate not only the lexicon of the professional community of economists and lawyers, but also ordinary people. We conclude it would be reasonable to diverge bankruptcy and insolvency at the paradigmatic level, which will contribute to the improvement and development of modern scientific views and practices of professionals in economics and law. The system of the bankruptcy development as a national institution is intended to sort out scientific ideas of its historical process. The ideas herein are designated to set up a modern paradigm of bankruptcy and insolvency, and improve the legislative framework. Therefore, the conclusions and suggestions can be of scientific and practical use in economics and law, as well as in higher education.

24. Personal bankruptcy

The partner or sole trader may be made bankrupt if his liabilities exceed his assets or if he has insufficient liquid assets to pay his current liabilities, even if the value of his total assets exceeds the value of his total liabilities. The law of bankruptcy is mostly contained in the Enterprise Act (EA) 2002. This chapter discusses the bankruptcy procedure; the trustee in bankruptcy; effect of the bankruptcy order on the bankrupt personally; assets in the bankrupt’s estate; distribution of the bankrupt’s assets; duration of the bankruptcy and discharge of the bankrupt; fast track voluntary arrangement scheme; and individual voluntary arrangement.

Discharge of obligation by an insolvent taxpayer on recovery of the amount of value-added tax in the context of ensuring public financial and economic interests

This article considers the problem of recovery of the amount of value-added tax by insolvent taxpayers in the context of ensuring public financial and economic interests. Analysis is conducted on the problem of whether taxpayers have obligation to recover the amount of value-added tax in terms of selling property during bankruptcy procedure, taking into account the established law enforcement practice and theoretical views on the topic. The subject of this research is the norms of tax law that regulate the obligation of insolvent taxpayers in recovery of the amount of value-added tax in terms of selling property during bankruptcy procedure. Such obligation of insolvent taxpayers is viewed with consideration of the need to ensure financial and economic interests of creditors of the debtor and public financial and economic interests. The author determines and substantiates the need for comparing fiscal interests with the financial and economic interests of creditors of the debtor, as well as public financial and economic interests in the context of implementation of norms of tax law to the discharge of tax obligations by insolvent taxpayers. It is established that the obligation of insolvent taxpayers to recover the amount of value-added tax significantly affects the financial and economic interests of creditors of the debtor. Based on the acquired results, the author offers to develop the position on the legislative level, according to which the obligation on recovery of the amount of value-added tax does not apply to taxpayers who are declared bankrupt in accordance with the established procedure, or the priority of payment of this tax can be lowered in case of objections of the interested parties.