Professional Documents
Culture Documents
or more creditors
LIQUIDATION OF INSOLVENT JURIDICAL
claims is
whose
Publication
of either
the
Voluntary
Liquidation
Filing of petition
for Liquidation w/
the court by the
insolvent debtor
Verification of the
petition
petition or motion in a
1,000,000inphp
newspaper
general
Atleast 25% of
circulation
debtors subscribed
capital
stock or on
Filing
of comments
partners
the
petition/motion w/in
15contribution
days from the date of
Issuance of
last publication
Liquidation Order
WHICHEVER IS
HIGHER
Involuntary
Liquidation
Filing of petition
for Liquidation w/
the court by the
creditors
Verification of the
petition
Issuance of Order
Issuance of
Liquidation Order
Voluntary
Liquidation
Filing of petition
for Liquidation w/
the court by an
individual debtor
insolvency
Issuance of
Liquidation Order
Involuntary
Liquidation
Filing of petition
for Liquidation w/
the court any
creditor or group
of creditors
Direct:
Payments of any claim & conveyance of any property due the debtor to the liquidator
All creditors to file their claims with the liquidator within the period set by the SC rules of
procedure
Order:
liquidation of the debtor & in the case of juridical debtor, declare it as dissolved
Sheriff to take possession & control of all debtors property, except those may be exempt
from execution
State that the debtor and creditors who are not petitioner/s may
submit the names of other nominees to the position of liquidator
Set the case for hearing for the election and appointment of the
liquidator, which date shall not be less than 30 days nor more than 45
days from the date of the last publication
The juridical debtor shall be deemed dissolved & its corporate existence terminated;
Legal title to and control of all assets except those exempt from execution be vested to
the liquidator or the court
All contracts shall be terminated and/or breached, unless the liquidator, w/in 90 days
from the date of his assumption of office, declares otherwise & the contracting party
agrees
no foreclosure proceeding shall be allowed for a period of one hundred eighty (180) days.
The
Discharge of Liquidator:
Only creditors:
Who have filed their claims w/in
Reporting Requirements:
notify all the creditors that will apply
the period set by the court;
with the court for the settlement ofWhose
his claims are not barred by
Preliminary
registry of claims of secured
Challenge
to claims:
account and his discharge from liability
the
statute
of
limitations
& unsecured creditors.
Within thirty (30 ) days from the
as liquidator.
Secured creditors
who
for
expiration
1. Waives his securityof
orthe
lienperiod
of
applications
for
file a final accounting
with the court,2. has the filing
Creditor
value
of
the
Record
of all moneys received and all
recognition
with proof of
notice to all creditors.
Appointed
subject of of
hisclaims, interested
disbursements
made by him or under his propertyparties
may
submit
a challenge
security
or
lien
fixed
by
authority.
& Bond
to claims
toReporting
the court, serving a
The
hearing.
Ifagreement
Election
of accounting will be set for Oath
with the
the
Requirements
certified
on the liquidator
the court finds the same in order,of
the
Liquidator
liquidator,
and is copy
admitted
Liquidator
and the of
creditor
ofhis
Liquidator
holding the
court will discharge the liquidator.
for
the
balance
Render
a quarterly report thereof to the
claim. challenged claim.
court, which report shall be made
available to all interested parties.
Upon the expiration of the (30)
The court may appoint:
day period, the rehabilitation
Court
The creditorsreceiver
do not attend
the to the
shall submit
Appointed
THE
LIQUIDATOR
SHALL
RESOLVE
The liquidator shall also submit such election date of the liquidator
court the registry of claims
DISPUTED
& SUBMIT
HIScourt
Discharge of
reports
as mayCLAIMS
be required
by the
Failed/Refused
containing
the
undisputed
to
elect
a
FINDINGS
THE
the
from
time to TO
time
as COURT
well as FOR
a final liquidator claims that have not been
FINAL
Liquidator
report
at APPROVAL.
the end of the liquidation
Liquidator fails
to qualify
subject
to challenge.
proceedings
A vacancy occurs, the court may
set another hearing for election
THE LIQUIDATOR
Challenge to
Claims
RIGHT OF SET-OFF
DEBTOR
CREDITOR
Minimum requirements:
Approval by creditors
representing more than
50% of the total
liabilities of the debtor
Publication of notice of
the standstill agreement
in a newspaper, once a
week for 2 consecutive
weeks
The SP period shall not
exceed 120 days from
the date of effectivity.