Article 10 of the Saudi Implementing Regulations of the Bankruptcy Law
المادة 10 من اللائحة التنفيذية لنظام الإفلاس · الفصل الثاني: أحكام مشتركة بين إجراءات الإفلاس: طلب افتتاح إجراء الإفلاس
This article of the Regulations gives the creditors' committee, creditor and debtor the right to inspect the procedure's information and documents held by the trustee or Bankruptcy Committee, unless declared confidential, with the right to object before the court.
Official text (Arabic)
This article has not been amended since the law was issued.
1- للجنة الدائنين والدائن والمدين حق الاطلاع على ما لدى الأمين أو لجنة الإفلاس من معلومات ووثائق متعلقة بإجراء الإفلاس المفتتح للمدين ما لم يقرر الأمين أو لجنة الإفلاس أو الجهة المختصة أنها سرية؛ لأسباب تتعلق بالمحافظة على قيمة أصول التفليسة أو باستمرار الإجراء أو النشاط الذي تشرف عليه الجهة المختصة.
2 - للجنة الدائنين والدائن والمدين الاعتراض أمام المحكمة على قرار سرية المعلومات أو الوثائق، وللمحكمة عند إلغاء القرار أن تحدد شروطاً للاطلاع على تلك المعلومات والوثائق.
This is the official Arabic wording, the only legally binding version. We do not translate the law itself; the explanation below is ours. Official source: Bureau of Experts at the Council of Ministers
Article 10 explained in plain English
This article of the Implementing Regulations of the Bankruptcy Law establishes a right to inspect the procedure's information, with an exception for confidentiality and a route for objection.
The rule: the right to inspect. The creditors' committee, the creditor and the debtor have the right to inspect the information and documents held by the trustee or the Bankruptcy Committee relating to the bankruptcy procedure opened for the debtor.
The exception: confidentiality. This right does not arise if the trustee, the Bankruptcy Committee or the competent authority decides that the information or documents are confidential, for reasons relating to one of the following:
- Preserving the value of the bankruptcy estate's assets.
- The continuation of the procedure.
- The continuation of the activity supervised by the competent authority.
The right to object. The creditors' committee, the creditor and the debtor may object before the court to the decision that information or documents are confidential. If the court cancels the decision, it may set conditions for inspecting that information and those documents. The article does not set a period for submitting the objection.
Relation to neighboring articles: Article 9 requires correspondence, notices, approvals, agreements, requests and any other document under the Law or the Regulations to be in writing, and these written documents are among the things inspection can cover. Article 11 makes selling the bankruptcy estate's assets one of the trustee's tasks after the judgment or decision opening liquidation becomes final.
A creditor who believes a confidentiality decision deprives him of information he needs to follow his claim can take the route of objection before the court, and would do well to consult a lawyer specializing in bankruptcy cases.
Practical example
A creditor of a company subject to a bankruptcy procedure in Riyadh asked the trustee to inspect purchase offers received for one of the company's assets, and the trustee decided they were confidential to preserve the value of the bankruptcy estate's assets. The creditor has the right to object to this decision before the court, and if the court cancels it, it may set conditions for inspection.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
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Frequently asked questions about Article 10 of the Saudi Implementing Regulations of the Bankruptcy Law
Does a creditor have the right to inspect the documents of a bankruptcy procedure?
Yes. The creditor, the creditors' committee and the debtor have the right to inspect the information and documents relating to the procedure held by the trustee or the Bankruptcy Committee, unless they are decided to be confidential.
When is bankruptcy information confidential?
If the trustee, the Bankruptcy Committee or the competent authority decides it is confidential for reasons relating to preserving the value of the bankruptcy estate's assets, the continuation of the procedure, or the continuation of the activity supervised by the competent authority.
How do I object to a decision making information confidential?
The objection is made before the court, which may set conditions for inspection if it cancels the decision.
More articles on Notification and Documents in Bankruptcy
- Article 6
Notices are given by the debtor, trustee or Bankruptcy Committee in the specified form and announcements on the Committee's website; where notice is impossible, an announcement is made and notice takes effect from its date.
1- يكون التبليغ من المدين أو الأمين أو لجنة الإفلاس بموجب أحكام النظام واللائحة وفق النموذج المحدد لذلك. 2- يكون الإعلان من المدين أو الأمين أو لجنة الإفلاس بمو
- Article 7
This article of the Regulations requires the debtor and the trustee to document in writing all acts carried out in the bankruptcy procedure.
على المدين والأمين توثيق جميع الأعمال في إجراء الإفلاس كتابةً.
- Article 8
This article of the Regulations allows notices and documents to be sent to the national address or electronically, treats notice to the chosen head of trustees as notice to the rest, and requires a meeting invitation to state the date, time and place.
1- يجوز إرسال أي تبليغ أو وثيقة أو معلومة، وما في حكم أي منها مما نص عليه في النظام أو اللائحة، على العنوان الوطني، أو عبر الوسائل الإلكترونية ومنها الرسائل الن
- Article 9
This article of the Regulations requires correspondence, notices, approvals, agreements, warnings, requests and any other document under the Bankruptcy Law or its Regulations to be in writing.
يجب أن تكون المراسلات والتبليغات والموافقات والاتفاقات والإنذارات والطلبات وأي وثيقة أخرى بموجب أحكام النظام أو اللائحة مكتوبة.
- Article 33
This article of the Regulations requires the debtor to notify creditors of the opening of the protective settlement within 7 days and gives an omitted creditor 14 days to request inclusion of its claim.
1- على المدين تبليغ الدائنين المحددين في المقترح بحكم المحكمة بافتتاح إجراء التسوية الوقائية خلال (سبعة) أيام من تاريخ صدوره، ودعوتهم إلى التصويت على المقترح، ع
- Article 49
This article of the Regulations requires a debtor who requests liquidation to notify its creditors of the request and the hearing date within 7 days of its registration, and allows a creditor to object at least five days before the hearing.
على المدين -إذا تقدم بطلب افتتاح إجراء التصفية- تبليغ دائنيه بالطلب, وموعد جلسة النظر فيه خلال (سبعة) أيام من تاريخ قيده. وللدائن تقديم اعتراض إلى المحكمة على ا
The texts are reproduced from the official website of the Bureau of Experts at the Council of Ministers for reference; where they differ, the officially published Arabic text prevails. This content is not legal advice.