The regulation of personal bankruptcy was introduced into Slovenian law by the Financial Operations, Insolvency Proceedings and Compulsory Dissolution Act, which does not define the very concept of personal bankruptcy but defines its purpose. This is the same as the purpose of bankruptcy proceedings against a legal person - the procedure is led so that all creditors from the assets of the bankrupt debtor receive payment of their ordinary claims against the bankrupt debtor at the same time and in equal shares. Its secondary purpose is remission of liabilities. When the bankruptcy estate does not formed, there is consequently no possibility that the basic purpose of the bankruptcy proceedings is going to be achieved. In order to achieve such a purpose, it requires a considerable degree of engagement of the bankruptcy administrator, a sufficient amount of funds to pay for the costs of the bankruptcy proceedings, and cooperation between all parties to the proceedings, especially between the bankruptcy debtor and the bankruptcy administrator. The personal bankruptcy procedure, where the court issues a resolution on remission of liabilities, has proven to be more efficient in terms of liquidation of the bankruptcy estate, as the debtor cooperates more with the administrator. The current legislation has brought quite a few positive changes in the implementation and management of assets, but it still does not pay enough attention to the liquidation of the bankruptcy estate on the basis of any other legal transaction aimed at realising his property rights, as well as providing funds for effective implementation of these activities.
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