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Bankruptcy. Assets of the debtor's children

Bankruptcy. Assets of the debtor's children

In the Resolution of the Supreme Court No. 307-ES19-23103 of 02.09.2021 y. position was formulated, according to which, within the framework of bankruptcy proceedings, the financial manager has the right to request data on the property of the debtor's children.

Factual circumstances of the case:

  • After the recognition of citizen P. as bankrupt and introduction of the sale of property financial manager D. applied to the arbitral tribunal to seek information on all assets of the debtor. However, he asked for information not only on the property and financial assets of citizen P.. and his wife, but also about the assets of their children.
  • The court refused the request to request information about the assets of the children, citing, that the law does not provide for a regime of common joint property of parents and children.
  • The appeal and cassation instances agreed with the above position.
  • However, the Supreme Court concluded, that the children of citizen P. don't have their own income. This, in turn, means, that their assets were acquired at the expense of citizen P. and his wife, which is a good reason for their inclusion in the bankruptcy estate.

Thus, The Supreme Court confirmed the right of the financial administrator to receive information about the property and financial assets of the debtor's children. In case, if the assets were acquired with the debtor's funds, they must be included in the bankruptcy estate.

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