Article L742-12 of the French Consumer Code
November 7, 2023
The trustee draws up a balance sheet of the debtor’s economic and social situation, verifies the claims and assesses the assets and liabilities.
The trustee draws up a balance sheet of the debtor’s economic and social situation, verifies the claims and assesses the assets and liabilities.
The judge shall rule on any disputed claims.
The judge shall order the judicial liquidation of the debtor’s assets, excluding the unseizable assets listed in article L. 112-2 of the code des procédures civiles d’exécution as well as assets whose sale costs would be manifestly disproportionate to their market value and non-professional assets essential to the debtor’s professional activity.
The judgment pronouncing the liquidation automatically divests the debtor of the disposal of his assets. His rights and actions in respect of his personal assets shall be exercised throughout the liquidation by the liquidator.
The liquidator has twelve months to sell the debtor’s assets out of court or, failing that, organise a forced sale under the conditions relating to civil enforcement procedures.
In the event of a forced sale, where a property seizure procedure initiated prior to the opening judgment has been suspended by the effect of the opening judgment, the acts performed by the seizing creditor are deemed to have been performed on behalf of the liquidator who proceeds with the sale of the immovable property. The seizure of immovable property may resume at the stage at which it was suspended…
The liquidator shall distribute the proceeds of the assets and pay the creditors according to the ranking of the security interests attaching to their claims.
The liquidator shall report on his mission to the judge under conditions laid down by decree in the Conseil d’Etat.
If the judge finds at the hearing to open the personal recovery proceedings with judicial liquidation that the debtor is clearly in the situation defined in the second paragraph of Article L. 742-21, the judge may open and close the personal recovery procedure with judicial liquidation for insufficient assets by the same judgment. The judgment has the same effects as those mentioned in article L. 742-22.
When the assets realised are sufficient to pay off the creditors, the judge declares the proceedings closed.Where the assets realised are insufficient to satisfy the creditors, where the debtor owns nothing other than furnishings necessary for day-to-day living and non-business assets essential to the exercise of his professional activity, or where the assets consist solely of assets that have no market value or whose sale costs would be manifestly disproportionate…
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is a Registered Trademark of
PETROFF LAW FIRM (SELARL LEGASTRAT)
182, rue de Rivoli
75001, Paris France
RCS Paris n°814433470
Paris Bar Registration n° (Toque) C2396
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is a Registered Trademark of
PETROFF LAW FIRM (SELARL LEGASTRAT)
182, rue de Rivoli
75001, Paris France
RCS Paris n°814433470
Paris Bar Registration n° (Toque) C2396
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