THE SECOND CHANCE L AW IN SPAIN
ARTICLE SUPPLIED BY WELEX LAWYERS & ACCOUNTANTS
Once an agreement has been reached, and the conditions of the debts have been improved in such a way that the debtor can pay them, an insol vency administrator is appointed. This is the person responsible for manag ing and administering the insolvency proceedings, and they are appointed by a judge. Therefore, the debtor will continue to have access to their assets, but they will be administered by the person appointed as administrator, in order for them to be able to pay their debts as agreed. However, what happens if agreement is not reached with the creditors or, having reached an agreement, the debtor does not have sufficient econom ic capacity to comply with the terms? This is usually the most common situation, and the debtor would then move on to the phase of consecutive insolvency proceedings, where a judge can exonerate them from 100 per cent of the debt.
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