Principle for Effective Insolvence

Abstract

Insolvency proceedings are complex because they combine 3 components: economic, judicial and social. Consequently, the conduct of these proceedings requires the participation of implementing authorities with a view to achieving the aim laid down by the law, i.e. to cover the debtor's liabilities and to satisfy the creditors as far as possible. Consistency, professionalism and professional ethics of the authorities enforcing this proceeding, together with the good faith of the debtor and the creditors, ensure the principle for effective insolvency.