THE OPENING OF THE ADMINISTRATIVE PROCEEDING ON THE BASIS OF DEBTS REPAYMENT PLAN IN THE FIELD OF THE INSOLVENCY OF THE INDIVIDUALS CONSUMERS
THE OPENING OF THE ADMINISTRATIVE PROCEEDING ON THE BASIS OF DEBTS REPAYMENT PLAN IN THE FIELD OF THE INSOLVENCY OF THE INDIVIDUALS CONSUMERS

Summary/Abstract: The individuals consumers are a large category of people entering into legal statements in social relations. Their status as non-specialized persons may expose them to certain risks when entering into relations with traders. There are situations when, due to some social circumstances independently of their good faith, the consumers of good faith become over-indebted and are no longer dealing with the debts reaching the state of insolvency. In order to ensure a balance between the creditors and the individuals debtors in good faith, in Romania it was established a specific legal framework through the Law no.151/2015concerning the insolvency procedure of the individuals. One of the types of insolvency covered by the statutory instrument is the insolvency proceeding based on a debt repayment plan, which has a remedy character and that involves a negotiation between the debtor and the creditor sand, depending on the result, a repayment plan. The administrative proceeding based on a debt repayment plan is opened at the debtor's request to the insolvency commission. The debtor's request must include data and information on the debtor's patrimony and its civil and professional status in order to assess its economic and financial situation and the chances of recovery. The examination of the application is made by the insolvency commission and in the result report is issued an admission or rejection decision. If the application is accepted, the proceeding is opened and the steps to approve a debt repayment plan are followed. The decision of the insolvency commission is communicated to the debtor and can be challenged before the court, that is, at the court where the debtor had his domicile or residence at least 6 months prior to the referral.

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