Hi , my question is about bankruptcy and liquid...

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It should be noted that after reviewing your inquiry and legal scrutiny we would like to inform you that the Kuwaiti legislator, in Article 233 of the Trade Law No. 68 of 1980, recognized the bankruptcy cases of the merchant and the bankruptcy of the companies. He began by defining the trader to whom the bankruptcy cases applied. He also referred to the effects of the bankruptcy ruling and bankruptcy procedures, and how to reconcile with the creditors.
The legislator explained that it is not permissible to conclude a judicial settlement with a bankrupt who has been sentenced to a penalty in the event of bankruptcy by fraud, and then the materials to the statement of bankruptcy crimes and cases of invalidation of the peace settlement and then the closure of the bankruptcy.
There are different provisions of the provisions of the Trade Law in relation to bankruptcy, where there is in the US laws authorizing the restructuring of companies instead of entering the bankruptcy system, the liquidation of the company to cover their debts and therefore must be reviewed the Kuwaiti Trade Law in many of its texts to keep pace with global economic developments. Although the decree on financial stability has approved a similar system in its fifth section. Bankruptcy and liquidation are the reasons for the company's expiration, and may be the company's dissolution or satisfaction, the partners may agree on the expiration of the company, because it is the will of the partners that established the company so it has a role At the end of the company, the partners' consensus is necessary to dissolve the company unless the law or condition in the contract otherwise. Article 3/158 of the Companies Law provides that the dissolution of the company shall be from the Extraordinary General Assembly
Closing of the company may be by virtue of a judicial ruling that dissolves the company if one of the partners so requests for the failure of a partner to fulfill its obligations or because of the disagreement between the partners or the inability to cooperate with each other as the partner manager forbids the management of the company or harms that management or for any other reason estimated by the court It is dangerous to justify the dissolution of the company and the court subject matter absolute authority to assess the facts justified for the solution and not subject to the control of the Court of Cassation.
Closing the company through the judiciary is a right of the partners when the legal justification is found, a personal right relating to public order that cannot be agreed to be disabled. Any agreement contrary to that shall be null and void.
The liquidation of the company means the business or operations under which the transactions and effects of the dissolved or terminated company are terminated. And the settlement of the legal centers of the company to meet their rights and pay their debts, and then divide the remaining funds to partners, and if nothing remains, it means that the company has suffered losses and each partner must contribute to them according to his responsibility for the debts of the company and in light of the provisions of the contract and the provisions of the law, Liquidation is required in all companies except the joint company because it does not have legal personality and therefore does not have an independent financial liability that can be liquidated by liquidation.
As a general rule, liquidations start from the time of dissolution of the company either by the will of the partners or by a judicial ruling. However, the commencement of liquidations is usually delayed until the appointment of the liquidator or his choice. The liquidation of the company is the retention of her character during the liquidation period and the amount necessary for liquidation. The company's retention of its legal personality during the liquidation period is to retain the company's name
However, it is necessary to add the term (under liquidation) and not delete its name from the commercial register until the completion of liquidation operations. It also retains its status, nationality and nationality. The company is entitled to sue either as a plaintiff or defendant and represented by the liquidator, not the manager or chairman. The liquidation also retains its financial value and thus the funds and assets remain in its possession throughout the liquidation period until such time as the allocation is made.
It is essential that appointing the liquidator and isolating him is the work of the partners and they have absolute freedom to do so. They must guarantee the contract of the company or a subsequent agreement as to how the liquidator is to be appointed or dismissed. They may entrust the liquidation to those who manage the company or to some partners or a foreigner. They may also decide to delay the selection of liquidator until the dissolution of the company, and regulate the means by which this choice is made. Whether by consensus or by majority, whenever such agreement is found, it shall be respected and the provisions of its provisions shall be liquidated and divided as agreed. The founders have not yet regulated or appointed the liquidator's appointment partners a subsequent agreement is in accordance with the Kuwaiti Commercial Companies Law (the Court shall appoint him at the request of one of them).
** Bankruptcy is another aspect of the termination of companies. The bankruptcy in its legal meaning is a special system aimed at regulating the collective implementation of the bankrupt debtor's money, which stops paying its debts due to the disruption of its business and the low financial position, which undermines confidence in its credit and threatens the interests of its creditors. The liquidation of the collective indebtedness of the bankrupt debtor who has stopped paying his debts, and when the company stopped paying its debts, it may be asked for bankruptcy month, this shall be the month of bankruptcy, which shall be effected by a court ruling at the request of the representatives of the company itself, or at the request of one of the company's creditors or the public prosecution. The court may, on its own motion, rule on the bankruptcy of the company.
In any event, the bankruptcy is made under a judgment issued by the competent court at the request of the debtor or its creditor. This is the judgment of my report, which does not disclose rights like other provisions, but decides a new case of bankruptcy of the debtor.
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