What are the legislative principles adopted by China s bankruptcy law in terms of the effect of extr

Answer]: B China's Enterprise Bankruptcy Law adopts the principle of limited universalism, and its Article 5 stipulates: "The bankruptcy proceedings commenced in accordance with this Law shall be effective against the debtor's property outside the territory of the People's Republic of China."

Where a judgment or ruling made by a foreign court in a legally effective bankruptcy case involves the debtor's well-known property within the territory of the People's Republic of China, and the application or request is made to the people's court for recognition and enforcement, the people's court shall examine it in accordance with the international treaties concluded or acceded to by the People's Republic of China, or in accordance with the principle of reciprocity, and shall find that it does not violate the basic principles of the laws of the People's Republic of China, does not harm national sovereignty, security, and social public interests, and does not harm China Where the lawful rights and interests of creditors within the territory of the People's Republic are to be adjudicated, a ruling shall be made on recognition and enforcement. ”

Answer]: Generally speaking, the conflict of laws in bankruptcy cases is mainly manifested in four aspects: bankruptcy procedure, bankruptcy creditor's rights, bankruptcy estate and bankruptcy administration.

In accordance with the general principle that proceedings should be governed by the law of the forum, insolvency proceedings should also be governed by the law of the forum, i.e., the law of the place where insolvency commences. It is generally asserted that the claim in bankruptcy is subject to the law of the country where the bankruptcy is declared, but if the right is obtained by contract, the law applicable to the contract should be applied. The bankruptcy estate, also known as the bankruptcy consortium, refers to all the property of the bankrupt person organized by the bankruptcy administrator in the bankruptcy proceedings to pay off the needs of creditors. In the case of immovable property, the law of the location of immovable property shall apply; The right of set-off of bankruptcy claims shall be handled in accordance with the applicable law corresponding to the claims.

With respect to the creditor's rights in rem of the bankruptcy estate, such as the right of repossession and the right of exclusion, States generally provide for the application of the lex situs of the property. Bankruptcy administration mainly includes the bankruptcy administrator's acceptance of the fate and the inventory, valuation, sale and other issues of bankruptcy, and it is generally believed that the law of the place of administration, that is, the law of the forum, should be applied to the bankruptcy administration.

Since foreign-related bankruptcy cases often encounter the situation where the bankruptcy property is divided into several countries, whether the bankruptcy declaration made by the court of one country is valid in other countries has become a very important issue in the context of foreign-related bankruptcy. The territoriality doctrine of bankruptcy, i.e., the declaration of bankruptcy made by a domestic state is only valid domestically and does not produce extraterritorial effects, so the country that holds this view allows the parties to become bankrupt in several places at the international level, such as Argentina and Japan. The universalism of insolvency considers that the bankrupt's quiet property in another State and other property in the declaring State are a unified whole, and therefore only one party is allowed to become insolvent internationally, as is the case in Switzerland.

Scope of application of the bankruptcy law: The scope of application of the bankruptcy law has been expanded from enterprises owned by the whole people to all enterprise legal persons, covering all enterprises with legal personality within the territory of China: regardless of the nature of ownership, whether it is a state-owned enterprise, a private enterprise, or a foreign-funded enterprise; There is no distinction between the degree of openness, whether it is a limited liability company or a share****; It also does not distinguish between the scope of business, whether it is a financial institution with a special scope of business or other enterprises with a general scope of business.

The new bankruptcy law treats all enterprise legal persons equally, so that economic and social investment and transactions will be more fair, the competition law of survival of the fittest will play a more effective role, and will be more conducive to building a harmonious, new, standardized business environment that is in line with China's current economic situation.

Legal basis: Enterprise Bankruptcy Law of the People's Republic of China

Article 1 This Law is enacted for the purpose of standardizing enterprise bankruptcy procedures, fairly liquidating creditor's rights and debts, protecting the legitimate rights and interests of creditors and debtors, and maintaining the order of the socialist market economy.

Article 2 Where an enterprise legal person is unable to pay off its debts when due, and its assets are insufficient to pay off all debts or it obviously lacks the ability to pay off its debts, it shall liquidate its debts in accordance with the provisions of this Law.

Where an enterprise legal person has the circumstances provided for in the preceding paragraph, or there is a clear possibility of losing solvency, it may carry out reorganization in accordance with the provisions of this Law.

According to Articles 2 and 135 of the Enterprise Bankruptcy Law, as long as the enterprise legal person and the organization other than the enterprise legal person are in bankruptcy liquidation, they can be executed in accordance with the Enterprise Bankruptcy Law.

However, at the time of the promulgation of the Enterprise Bankruptcy Law, only enterprises owned by the whole people or enterprise legal persons could be liquidated through bankruptcy procedures in accordance with the law.

China's Enterprise Bankruptcy Law applies to enterprises owned by the whole people.

China's current bankruptcy legislation stipulates that bankruptcy proceedings are only applicable to enterprise legal persons. Among them, the Enterprise Bankruptcy Law of the People's Republic of China (for Trial Implementation) shall apply to the bankruptcy of enterprise legal persons owned by the whole people, and Chapter 19 of the Civil Procedure Law, "Procedures for Bankruptcy and Debt Repayment of Enterprise Legal Persons", shall apply to the bankruptcy of non-national enterprise legal persons.

The relevant provisions on the scope of application of China's current bankruptcy law are no longer sufficient to solve the problem of a large number of debts that cannot be paid off in practice, and while improving the specific procedural systems, the scope of application of the bankruptcy law should be expanded not only to non-state-owned enterprises, partnership enterprises, sole proprietorship enterprises and commercial natural persons, but also to individuals (natural persons).

Legal Analysis: Standardize enterprise bankruptcy procedures, fairly liquidate claims and debts, protect the legitimate rights and interests of creditors and debtors, and maintain the order of the socialist market economy.

Legal basis: "Enterprise Bankruptcy Law of the People's Republic of China" Article 2 If an enterprise legal person is unable to pay off its debts when due, and its assets are insufficient to pay off all debts or it obviously lacks solvency, it shall liquidate its debts in accordance with the provisions of this Law. Where an enterprise legal person has the provisions of the preceding paragraph, or there is a clear possibility of losing solvency, it may carry out re-covering and re-rectification in accordance with the provisions of this Law.

Answer scrambled] :d

The Bankruptcy Code provides:'Bankruptcy proceedings commenced in accordance with this Law are effective with respect to the debtor's property outside the territory of the People's Republic of China and the Republic. Where a judgment or ruling made by a foreign court in a legally effective bankruptcy case involves the debtor's property within the territory of the People's Republic of China, and the people's court is applied for or requested to recognize and enforce it, and the people's court conducts a review in accordance with the international treaties concluded or acceded to by the People's Republic of China, or in accordance with the principle of reciprocity, and finds that it does not violate the basic principles of the laws of the People's Republic of China, does not harm national sovereignty, security and social public interests, and does not harm the lawful rights and interests of creditors within the territory of the People's Republic of China, Recognition and enforcement of awards'.

It can be seen from this that the Bankruptcy Law not only recognizes the extraterritorial effect of the bankruptcy declaration, but also imposes certain restrictions, so it belongs to the limited universalism and should be chosend