Book VII: TREATMENT OF OVER-INDebtedness

The total duration of the measures mentioned in article L. 733-1 may not exceed seven years. Measures may, however, exceed this period when they concern the repayment of loans taken out for the purchase of a property constituting the debtor’s principal residence, the sale of which they enable the debtor to avoid, or when they enable the debtor to repay all of his debts while avoiding the sale of the…

The commission may also, at the request of the debtor and after giving the parties an opportunity to present their observations, impose the following measures by special reasoned decision: 1° In the event of the forced sale of the debtor’s main home, encumbered by a registration benefiting a credit institution or finance company that provided the sums necessary for its acquisition, the reduction of the amount of the fraction of…

The commission takes into account the knowledge that each of the creditors may have had of the debtor’s debt situation when the various contracts were concluded. It may also check that the contract was entered into with the seriousness required by professional practice.

Subject to article L. 711-4, tax debts may be rescheduled or forgiven in full or in part under the same conditions as other debts.

The commission may require that the measures provided for in articles L. 733-1 and L. 733-4 be subject to the debtor performing acts to facilitate or guarantee payment of the debt.

When the debtor has already benefited from a personal recovery measure provided for in 1° and 2° of article L. 724-1 and the debtor refers the matter back to the commission, the latter may, if it considers that the debtor’s situation is once again irremediably compromised and on the advice of a member of the commission with experience in the field of social and family economics, require the debt write-off…

In the absence of a challenge made by one of the parties pursuant to article L. 733-10, the measures mentioned in articles L. 733-1, L. 733-4 and L. 733-7 are binding on the parties, with the exception of creditors whose existence has not been reported by the debtor and who have not been notified of these measures by the commission.