Bankruptcy Law

Articles L. 653-1 et seq. of the Commercial Code set out an exhaustive list of cases in which the court may order personal bankruptcy or a management ban, and no other behavior can be sanctioned by such measures. For example, an association's failure to monitor its legal affairs, which is not included in the limitative list of faults liable to be punished by a management ban, cannot be held agains …

Restrictive nature of the list

Articles L. 653-1 et seq. of the Commercial Code set out an exhaustive list of cases in which the court may order personal bankruptcy or a management ban, and no other behavior can be sanctioned by such measures. For example, an association's failure to monitor its legal affairs, which is not included in the limitative list of faults liable to be punished by a management ban, cannot be held against its manager on the grounds of bankruptcy .

Furthermore, certain types of behavior can only be punished by a management ban, and not by personal bankruptcy. Indeed, since the entry into force of the Law of 26 July 2005 on corporate safeguard , a manager who has failed to apply for the opening of receivership or court-supervised liquidation proceedings within forty-five days of the cessation of payments can only be sentenced to a management ban, and not to personal bankruptcy . Similarly, the failure to submit accounting documents or an inventory, or to keep regular accounts, or the fact that the business is continuing to operate at a loss, are not sufficient grounds for imposing a personal bankruptcy order on an individual in the context of the procedure initiated against him or her in respect of his or her activity as a commercial agent .

Cass. com., 18 January 2023, LawLex202300005946JBJ (LJ).

L. 2005-845 of 26 July 2005 on safeguarding businesses.

Cass. com., 12 January 2022, LawLex202200004424JBJ (LJ); 12 June 2019, LawLex202100001864JBJ (LJ); 15 May 2019, LawLex202100001973JBJ (LJ); 16 January 2019, LawLex202100005353JBJ (LJ); 7 November 2018, LawLex202100001971JBJ (LJ); 24 May 2018, LawLex202100001844JBJ (LJ); 20 April 2017, LawLex202100001969JBJ (LJ); 22 February 2017, LawLex202100001965JBJ (LJ).

Cass. com., 13 May 2003, LawLex202300008728JBJ (LJ).

Bankruptcy Law

996. Restrictive nature of the list

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Les notions juridiques connexes

996. Restrictive nature of the list

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Les décisions de justice citées dans ce paragraphe :

Les notions juridiques connexes

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