If the debtor or creditors are interested in ensuring their influence on the sale of the debtor’s assets during bankruptcy proceedings, an application should be submitted for approval of the terms of sale of the debtor’s assets.
In bankruptcy proceedings a participant in the proceedings may submit an application for approval of the terms of sale of the debtor’s assets of significant value. A participant in bankruptcy proceedings is anyone who has filed an application for declaration of bankruptcy and the debtor. In proceedings for declaring bankruptcy against natural persons not conducting business activity an application for declaring bankruptcy may be filed only by the debtor and the creditor of a natural person who was an entrepreneur after ceasing to run a business, if no year has passed since the date of deletion from the relevant register or the person actually conducted business, even if it has not fulfilled the obligation to register it in the appropriate register, if less than one year has passed since the date of cessation of business activity.
The applicant attaches to the application for approval of the terms of sale proof of payment by the buyer of a deposit in the amount of one tenth of the offered price. The applicant must attach to the application for approval of the terms of sale a list of security interests known to the applicant made by creditors on the property to which the application relates including the addresses of these creditors. Additionally, you must attach a description and estimate of the asset covered by the application prepared by a person entered on the list of court experts as well as the terms of sale by indicating at least the price and the buyer. The terms of sale may be specified in the submitted draft contract to be concluded by the trustee.
The court will grant the application for approval of the terms of sale if the price is higher than the amount obtainable in bankruptcy proceedings upon liquidation under general principles less the costs of the proceedings and other liabilities of the bankruptcy estate that would have to be incurred during liquidation under such procedure. The court may grant an application for approval of the terms of sale if the price is close to the amount obtainable in bankruptcy proceedings upon liquidation on general terms, less the costs of the proceedings and other liabilities of the bankruptcy estate that would have to be incurred upon liquidation in such a manner, if this is justified. important public interest or the ability to preserve the debtor’s business.
At the same time sales to the spouse, relatives or in-laws in the direct line, relatives or in-laws in the collateral line up to the second degree, to a person who is in an actual relationship with the bankrupt, runs a household together with him, or to an adopted or adoptive parent is permitted only at the sales price, not lower than the estimated price. The estimate price is determined by the court on the basis of evidence from an expert opinion.
Taking into account the application the court, in the decision declaring bankruptcy, approves the terms of sale specifying at least the price and the buyer of the property that is the subject of the sale referred to in this section. In the decision the court may also refer to the terms of sale specified in the draft contract.
