Features of Bankruptcy in Simplified Bankruptcy Procedures

In this article, the author sets the goal of studying the specific characteristics of simplified bankruptcy procedures, within the framework of which the features of the legal regulation of bankruptcy proceedings in simplified bankruptcy procedures of special debtors are considered: a liquidated debtor, an absent debtor, as well as a specialized company and a mortgage agent. The Bankruptcy Law excludes the application of monitoring, financial rehabilitation and external management procedures in relation to these special debtors, aimed at assessing the debtor's financial condition and implementing rehabilitation measures to restore his solvency, which corresponds to the task of reducing the duration and resource intensity of simplified bankruptcy procedures. The specifics of bankruptcy proceedings in respect of absent and liquidated debtors are insignificant, which do not allow to separate simplified bankruptcy proceedings as a special procedure. Bankruptcy proceedings carried out in relation to a specialized company and a mortgage agent do not have a wide practical application due to the organizational «protection» of these legal entities from bankruptcy. The author concludes that the current legislative regulation of simplified bankruptcy procedures does not contain significant differences between simplified bankruptcy proceedings and ordinary competition, which is a significant drawback of the legal regulation of simplified bankruptcy. The author presents proposals to simplify the procedure for bankruptcy proceedings of absent and liquidated debtors, including the rejection of mandatory quarterly meetings of creditors and the transition to simplified reporting of the bankruptcy trustee, proposals related to reforming the procedure for the sale of the debtor's property, including by developing a separate procedure for the sale of property in simplified bankruptcy procedures, as well as simplification of the procedure for the sale of receivables arrears.

bankruptcy law, insolvency, bankruptcy, simplified procedures, absent debtor, liquidated debtor, bankruptcy proceedings