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Foreclosure on a mortgage of a debtor who is in bankruptcy proceedings: legal position"(powered by GoogleTranslate)"

The decision of the Commercial Court of Cassation of the Supreme Court of 22.09.2021 in case № 905/1923/15 established a legal position on foreclosure on the subject of the mortgage of the debtor, which is in bankruptcy proceedings, says "Legal Constant".

Thus, the provisions of the Law of Ukraine “On Enforcement Proceedings” are only a general rule that defines the mechanisms that must be applied by enforcement agents in the process of enforcement of court decisions. Since the initiation of bankruptcy proceedings against the debtor, he is in a special legal regime and special rules of the Code of Ukraine on Bankruptcy Procedures for cases of foreclosure on the debtor's property established special rules.

Examining the controversial issue of the legality of the actions of the state executor should proceed from the analysis of the provisions of Art. 34, 35 of the Law of Ukraine “On Enforcement Proceedings” in normative combination with the provisions of the Bankruptcy Procedure Code of Ukraine, certain provisions of which determine the legal regime and relevant restrictions on the disposal of the debtor's property.

As noted, the actions of the state executor to recover the mortgage of a debtor who is in bankruptcy proceedings cannot be considered lawful on the basis of only the provisions of the Law of Ukraine “On Enforcement Proceedings”, without taking into account the procedures and provisions of the Bankruptcy Code. priority in application when considering bankruptcy cases concerning other legislative acts of Ukraine.


Source:borgexpert.com