The Committee on the Rule of Law and Justice upholds the draft law to amend several legislative acts of Ukraine regarding preventing debtors’ rights violations and introduction of natural person’s bankruptcy procedure

Information Department of the Verkhovna Rada of Ukraine Secretariat
19 March 2013, 17:44

The bill (Reg. No. 1145) aims at creating possibilities of debt settlement for natural persons. In particular, the bill “presupposes introducing a debt repayment plan approved by the economic court; reducing risks and costs of a debtee due to complexity of debt collection; reducing costs for administering bankruptcy procedure of the citizen etc.”

It was proposed also to amend and supplement introduction of natural person's bankruptcy procedure to the Civil Code, the Civil Procedural Code, the Law “On Consumer Rights Protection”, the Law “On Restoring Debtor's Solvency or Declaring a Debtor Bankrupt”.

According to the members of the Committee, the bill’s provisions would allow introducing institute of bankruptcy of a natural person not engaged in business activities; reduce the amount of problem loans in the banking system and help borrowers that are in financial straits and cannot service their debts.