Financial Restructuring and Bankruptcy Law

Article 133 — Article (133) Preventing the Debtor from Disposing of its Own Assets

Part Three: Declaration of Bankruptcy · Chapter Three: Management of the Debtor's Assets and Business

1. As soon as a decision is issued to initiate Bankruptcy Proceedings, the debtor shall be prohibited from disposing of its assets and businesses and from managing them, and the Trustee shall assume the management of the debtor's assets and businesses. All actions undertaken by the debtor on the day the aforementioned decision is issued are considered to have undertaken after its issuance, and any action issued to the contrary shall be considered void and invalid. 2. The Trustee may file a case before the Bankruptcy Court to issue a judgment that the debtor's actions are invalidated. He may also submit the necessary applications to the Bankruptcy Court to take the necessary precautionary measures to protect the rights of creditors. 3. The prevention of the debtor from disposing of its assets shall not prevent him from taking the necessary measures to preserve its rights in a way that does not cause damage to the interests of creditors.

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