The Chinese bankruptcy law had to be changed due to the accession to the WTO. What is the role of the administrator in the new Chinese bankruptcy law?
Table of Contents
1. A short Overview: The History of Bankruptcy
2. The Administrator in the Chinese Bankruptcy Law of 2006
2.1 The Duties and Functions of the Bankruptcy Administrator
2.2 Who can be a Bankruptcy Administrator
2.3 The Register of Bankruptcy Administrators
2.4 The Bankruptcy Administrators Remuneration
3. Conclusions
Research Objectives and Themes
This paper examines the legal framework and practical implementation of the bankruptcy administrator's role under the Chinese Bankruptcy Law of 2006, providing a comparative context and analyzing the administrator's duties, appointment processes, and remuneration.
- Historical evolution of global bankruptcy concepts
- Legal duties and functional scope of the administrator in China
- Appointment criteria and qualification requirements for administrators
- Supervision mechanisms by creditors' meetings and the people's courts
- Determination and regulation of administrator remuneration
Excerpt from the Book
2.1 The Duties and Functions of the Bankruptcy Administrator
The bankruptcy administrator shall perform following functions and duties:
(1) Taking over the assets, seals as well as accounting books and documents of the debtor,
(2) Investigating the financial status of the debtor and formulating the financial statements,
(3) Deciding the internal management of the debtor,
(4) Deciding the daily expenditure and other necessary expenditures of the debtor,
(5) Deciding before the first creditors’ meeting is held, to continue or suspend the debtors business,
(6) Managing and disposing of the debtors’ assets,
(7) Participating actions, arbitrations or any other legal procedures on behalf of the debtor,
(8) Proposing to hold creditors’ meetings, and
(9) Performing any other functions and duties that the people’s court believes it should perform.
Summary of Chapters
1. A short Overview: The History of Bankruptcy: This chapter traces the etymological and historical roots of bankruptcy, from ancient systems in the Middle East and Rome to the development of modern legal concepts in Europe and the United States.
2. The Administrator in the Chinese Bankruptcy Law of 2006: This chapter introduces the legal status of the bankruptcy administrator under the 2006 Chinese law, highlighting the court-led appointment process and the specific obligations imposed on the administrator.
2.1 The Duties and Functions of the Bankruptcy Administrator: This section provides a detailed breakdown of the nine core responsibilities and functions assigned to the administrator, ranging from asset management to the representation of the debtor in legal procedures.
2.2 Who can be a Bankruptcy Administrator: This section outlines the qualification requirements for individuals and institutions, defining the three categories of eligible administrators and the grounds for their disqualification.
2.3 The Register of Bankruptcy Administrators: This section explains the administrative framework for maintaining registers of qualified administrators, managed by the People’s High and Intermediate Courts.
2.4 The Bankruptcy Administrators Remuneration: This section details the process for determining administrator compensation, noting its priority status among liabilities and the regulatory oversight by the people's courts.
3. Conclusions: The final chapter evaluates the effectiveness of the current Chinese bankruptcy administrator framework, suggesting that it provides a solid foundation for aligning with international standards following WTO accession.
Keywords
Bankruptcy Law, Bankruptcy Administrator, China, Insolvency, Creditors, People's Court, Liquidation, Reorganization, Remuneration, Financial Status, Asset Management, Debtors, Legal Procedure, WTO, Chinese Law of 2006
Frequently Asked Questions
What is the primary focus of this research?
This work provides an overview of the role of the bankruptcy administrator specifically under the Chinese Bankruptcy Law enacted in 2006.
What are the central thematic fields covered?
The paper covers the historical context of insolvency, the specific legal mandates for administrators in China, their appointment criteria, and how their compensation is structured.
What is the core research objective?
The objective is to explain how the Chinese system defines the administrator's role and to determine if this framework is sufficient to satisfy the needs of China's modern economy and WTO integration.
Which methodology is employed in this study?
The study utilizes a legal-doctrinal approach, relying on an analysis of the Law of the People's Republic of China on Enterprise Bankruptcy and official judicial interpretations.
What topics are addressed in the main body?
The main body breaks down the legal duties of the administrator, the specific requirements to become an administrator, how they are registered, and the legal protocols for their remuneration.
Which keywords characterize the work?
Key terms include Chinese Bankruptcy Law, Administrator, Liquidation, People’s Court, and Creditor protection.
Can an administrator be changed during the process?
Yes, if the administrator fails to perform duties effectively, the creditors have the legal right to apply to the people's court for a replacement.
How is the impartiality of the administrator ensured?
The people's court performs the appointment process, often through open or random methods, and prohibits individuals or firms with prior credit-debt relations or conflicts of interest from serving.
Does the administrator have to work for free if assets are low?
No, the administrator has the right to apply for the termination of bankruptcy proceedings if the debtor's assets are insufficient to cover their remuneration, unless creditors provide an advance payment.
What role does the 'creditors' meeting' play?
The creditors' meeting acts as a supervisory body that reviews the administrator's work, provides approvals for specific plans, and can object to remuneration proposals.
- Quote paper
- Mag. Ludwig Hetzel (Author), 2008, The Role of the Administrator in Chinese Bankruptcy Law, Munich, GRIN Verlag, https://www.grin.com/document/127190
