Have you reached insolvency and have no way to repay the debts?

You have a way out

Even if you reached insolvency or "bankruptcy", and you have no way to pay the debt due to difficult personal circumstances, the law took you into account and found a solution for you.

Attorney Aichlotham Masala, an insolvency specialist, makes arrangements

In collaboration with legal zap

24/07/2022

Sunday, July 24, 2022, 1:50 p.m

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Attorney Aichlotham Masala's field of practice is treatment and assistance to debtors and clients in insolvency and bankruptcy processes (Photo: ShutterStock)

We start with the story.

A debtor - that is, a person who has been declared insolvent and has no ability to repay his debts to his creditors, came to the office of attorney Aichlotham Mesala. The debtor, called A, said that he had reached debts of three million shekels and that his medical condition had recently deteriorated, he became for long-term care and receives a disability allowance from the National Insurance. Attorney Masala, who realized that this was a story that required intervention and that the court had to be convinced that there would be no benefit to the creditors from managing a long and tedious bankruptcy procedure, came to his aid.

"The court heard our arguments," says Attorney Masala, "understood that A's got an opportunity to turn a new page and that the law also allows for an immediate dismissal order to be issued for him, and he did so, of course, after a legal process that we accompanied from beginning to end.

The client contacted us through his son who practices law and recommended our firm.

We felt that there really was a special story here," adds Attorney Masala excitedly, "and this is exactly the type of case the legislator was thinking about when he formulated the 'immediate dismissal order', so we were very happy and excited to enlist his help."

What is an "immediate dismissal order"?

This is an order issued by the court, which applies immediately after the debtor is declared bankrupt.

According to section 167 of the Insolvency and Economic Rehabilitation Law, 2018-2018, the court may not impose payments on the debtor as part of an economic rehabilitation order, and this is due to the fact that his earning capacity is less than the cost of living

. that it actually harms the debtor's creditors, but precisely for this purpose - and we witnessed this in this case as well - there is a need for some kind of intervention by the court, which will do justice and act with the measure of mercy," says Attorney Masala.

"The debtor's family members were very excited and of course A himself. This is another customer that we managed to get him to start a new life."

It is important to note that this is not a simple procedure at all and the court is not in a hurry to impose a dismissal order immediately.

It is necessary to know which documents to submit to the court and which legal claims will help the client to accept that this is a special situation.

"A was in the process for many years and that's precisely why we really wanted to fight for him," says Attorney Masala.

As exciting as it is, A's story is not that special.

At the office of Adv. Mesla, which specializes in dealing with cases of this type, we meet quite a few debtors of this type and treat them thoroughly and professionally along with a personal and humane attitude to each client. To

help them start a new life and turn a new page."

His office specializes in issuing immediate dismissal orders and managing cases with creditors and the official receiver.

For contact, tel.

: 053-9387292

am.adv69@gmail.com

to the office page on the legal

article website courtesy of Zap Legal

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