Wrongfully declared bankrupt: the options
If you believe that you have been wrongfully declared bankrupt, you have two options: objection or appeal.
Wrongful bankruptcy option 1: Objection
A bailiff serves you a judgment stating that you or your company has been declared bankrupt by the Commercial Court. However, you were not present at the hearing and were unaware of the proceedings, but you believe that the bankruptcy was wrongfully pronounced.
You then have the option to lodge an objection to the bankruptcy judgment. It is important to note that the law has set a time limit of 15 days from the service of the judgment. This means that once you have received the bailiff’s judgment, you have 15 days to file an objection. After the expiration of those 15 days, the bankruptcy judgment becomes final.
If you are declared bankrupt again, an appeal is still possible.
Wrongful bankruptcy option 2: Appeal
You were aware of the ongoing proceedings and were present at the hearing, but you do not agree with the judge’s decision to declare you bankrupt. In that case, you can appeal the decision. The time limit to file an appeal is 15 days from the publication of the judgment in the Belgian Official Gazette.
This is different from objection. The trustee is required to publish the judgment in the Belgian Official Gazette within a period of 5 days after the ruling. The time limit to appeal begins to run from that publication. Once those 15 days have passed, the bankruptcy judgment becomes final.
Additional considerations
If you have been summoned by a creditor and wish to file an appeal or objection, it is advisable to pay the creditor in full immediately.
It is important that you consult a lawyer right away because the claim in question may have increased due to damages and interest. Such proceedings can be complicated. Assistance from someone knowledgeable in this matter is therefore indispensable.
