THE BALANCE OF CREDITORS' INTERESTS IN CONDUCTING A SET-OFF IN BANKRUPTCY PROCEEDINGS

THE BALANCE OF CREDITORS' INTERESTS IN CONDUCTING A SET-OFF IN BANKRUPTCY PROCEEDINGS

THE BALANCE OF CREDITORS' INTERESTS IN CONDUCTING A SET-OFF IN BANKRUPTCY PROCEEDINGS
The Company applied to the court for the resolution of disagreements with the manager on the issue of offsetting homogeneous counterclaims between the debtor and the company and the exclusion of the company's claims from the register (case no. A14-17383/21).

Partially satisfying the application, the courts of two instances concluded that there were grounds for satisfying the company's claims for a set-off between the debtor and the company, as well as the impossibility of legal succession between the debtor and another company due to the invalidity of the assignment agreement. 

The cassation sent the dispute for reconsideration, since the courts did not clarify the circumstances of the debtor's appeal to the company for the enforcement of a court decision in the framework of enforcement proceedings, the company's property by sending requests to the competent authorities. When the company and other participants in the bankruptcy case provide evidence of the creditor's insolvency, the latter shall bear the burden of refuting these circumstances, indicating the reasons for the non-execution of the judicial act. 

In view of this circumstance, the courts need to identify the creditors of the company and, when resolving the issue of the possibility of offsetting between the debtor and the company, check whether the rights of creditors of such a company will be violated by such offsetting. 

The argument that it is impossible to set off between the new creditor and the debtor, which entails a violation of the rights of the debtor's creditors in the event of illiquid claims against the company, contradicts the provisions of the law. Concluding that the contract of assignment of claims is invalid, the courts have not established how the rights of the debtor, his creditors and other persons involved in the case are violated by this contract. Postponement of payment under the assignment agreement does not affect the rights of the debtor and other persons involved in the bankruptcy case.

    

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12.09.2025