Abstract

Changes in consumer bankruptcy introduced by the Restructuring Law of 15 May 2015 are fundamental. Within a year after the winding up of business former entrepreneurs and former partners of partnerships may file for bankruptcy and debt relief under consumer bankruptcy rules. Consumer bankruptcy has thus become a universal procedure to be utilized by all natural persons who do not conduct any economic activities.

The situation of the debtor - a former entrepreneur has been correlated with changes consisting in granting the right to the creditor to file a petition in bankruptcy for such debtor within a year after the relevant entry has been stricken off the register or debtor’s business activity has been terminated. Under the new law, it is therefore crucial to properly identify the date as of which the debtor should be treated as a former entrepreneur and the period in which the creditor is authorized to file a petition in bankruptcy. In the first case, that date is the day following the termination of business activities. In the former case, that period is one year counted from the date from the relevant entry has been stricken off the register. If the creditor’s petition is granted, creditors acquire additional powers under the bankruptcy proceedings, which may be carried out as universal enforcement, without the possibility of debt relief.