Article 65 of the Saudi Implementing Regulations of the Bankruptcy Law
المادة 65 من اللائحة التنفيذية لنظام الإفلاس · الفصل السابع: إجراء إعادة التنظيم المالي لصغار المدينين: افتتاح الإجراء
This article requires the trustee, when filing the proposal with the court, to attach a report giving his opinion on the possibility of the creditors approving it and on its feasibility.
Official text (Arabic)
This article has not been amended since the law was issued.
على الأمين أن يرفق عند إيداع المقترح لدى المحكمة تقريره المتضمن رأيه في إمكان موافقة الدائنين على المقترح, وقابليته للتنفيذ.
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 65 explained in plain English
This article of the Regulations places a duty on the trustee in the financial reorganization procedure for small debtors when the proposal is filed with the court: to attach to it a report from him.
The report must include the trustee's opinion on two matters:
- The possibility of the creditors approving the proposal, that is, his assessment of the chances of the creditors accepting it.
- The feasibility of implementing the proposal, that is, whether what it contains can practically be applied.
The importance of this report is that the trustee took part with the small debtor in preparing the proposal under Article 64, which makes the small debtor prepare the proposal with the trustee's help within 30 days of the end of the period for submitting claims. The report then presents to the court a professional opinion on the proposal alongside it.
After that comes the creditors' vote, and Article 66 deals with what the trustee must do after the vote ends, which is to file with the Bankruptcy Register what proves that the result was filed with the court, and to announce that the plan has taken effect.
This article does not specify the form of the report or other details in it beyond the two matters mentioned, and does not state the effect of the trustee's opinion on the court's decision. Anyone who needs to assess a particular case should consult a lawyer who specializes in bankruptcy and commercial cases.
Practical example
A small contracting establishment in Taif prepared, with the trustee's help, a proposal to reschedule its debts over 3 years. When the proposal is filed with the court, the trustee attaches his report setting out his opinion on the likelihood of the creditors approving this rescheduling and on whether the establishment can really implement it.
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 65 of the Saudi Implementing Regulations of the Bankruptcy Law
What does the trustee's report attached to the proposal contain?
His opinion on the possibility of the creditors approving the proposal and on its feasibility.
When does the trustee submit his report?
When the proposal is filed with the court, as he must attach it to it.
More articles on Small Debtor Bankruptcy Procedures
- Article 11
The trustee sells the bankruptcy estate's assets after the judgment or decision opening the liquidation procedure, or the liquidation procedure for small debtors, becomes final.
يتولى الأمين بيع أصول التفليسة بعد اكتساب حكم أو قرار افتتاح إجراء التصفية أو إجراء التصفية لصغار المدينين الصفة النهائية.
- Article 57
This article regulates a small debtor's request to terminate its contracts in preventive settlement for small debtors: its timing, the trustee's report and notice to the contracting party.
1 - على المدين الصغير الذي يرغب في إنهاء أي من العقود التي يكون طرفاً فيها تقديم طلب الإنهاء إلى المحكمة بعد إيداع قرار افتتاح إجراء التسوية الوقائية لصغار المد
- Article 58
This article requires the small debtor to notify the creditors identified in the proposal of the voting date, with a copy of the proposal or evidence that it is available electronically.
يبلغ المدين الصغير الدائنين المحددين في المقترح بموعد التصويت عليه، ويرفق بالتبليغ نسخة من المقترح أو ما يفيد بإتاحة الاطلاع عليه بأي من الوسائل الإلكترونية الت
- Article 59
This article requires the small debtor to attach the information and documents specified for that purpose to the request for a stay of claims.
على المدين الصغير أن يرفق بطلب تعليق المطالبات المعلومات والوثائق المحددة لذلك.
- Article 60
This article requires the small debtor to file the decision approving a stay of claims or extending it with the Bankruptcy Register as soon as it is issued, and to announce it within 5 days.
1 - على المدين الصغير فور إصدار المحكمة قراراً بالموافقة على طلب تعليق المطالبات أو تمديده, إيداع القرار لدى سجل الإفلاس. 2 - يعلن المدين الصغير قرار المحكمة با
- Article 61
This article requires the small debtor to file with the Bankruptcy Register, within 5 days, what proves that the result of the vote was filed with the court, and to announce that the plan has taken effect within 5 days.
على المدين الصغير خلال (خمسة) أيام من انتهاء تصويت الدائنين على المقترح أن يودع لدى سجل الإفلاس ما يثبت إيداع نتيجة التصويت لدى المحكمة، وعليه أن يعلن عن نفاذ 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.