Provision of “Protect or employ a legal guardian to protect their lawful rights and interests” from Law on Bankruptcy

September 12, 2023

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Within the framework of bankruptcy law, the provision that emphasizes the need to “protect or employ a legal guardian to protect their lawful rights and interests” holds significant implications. This clause is a cornerstone of safeguarding the rights and interests of individuals and entities involved in bankruptcy proceedings. It underscores the importance of legal representation and guardianship to ensure fairness and equity throughout the complex bankruptcy process.

Question:

The Court, when resolving the request to initiate bankruptcy proceedings, may accept the request of the enterprise, cooperative, debtor, or guarantor. They can invite a lawyer to protect their legal rights and interests.

Answer:

According to Clause 8, Article 8 of Law on Bankruptcy stipulates the rights and obligations of participants in bankruptcy proceedings as follows: “Protect or employ a legal guardian to protect their lawful rights and interests.”. When the enterprise, cooperative, debtor, or guarantor requests the Court to allow lawyers to protect their legal rights and interests. The Court must register the person representing them.

Conclusion

In conclusion, the provision encourages “protection or employment of a legal guardian to protect lawful rights and interests” in the Law on Bankruptcy. It recognizes the complexities of bankruptcy proceedings and the need for legal guardianship to safeguard rights. This ensures that all parties can protect their interests and seek just resolutions within the bankruptcy framework. The provision demonstrates the legal system’s commitment to fairness, transparency, and the rule of law in bankruptcy.

HMLF is always available to offer assistance in understanding the procedures with authorities.