On Bankruptcy Exemption Thesis And Its Regulations

Personal bankruptcy principally is designed to permit debtors rehabilitation through the discharge of debts, and to those individual debtors, one attraction of filinga bankruptcy case is to obtain discharge from burdensome debt. A discharge voids any judgments against the debtors to the extent that it creates a personal liability, which covers all scheduled debts that arose before the date of the order for relief. Discharge was introduced for the sack of personal bankruptcy and had nothing to do with the bankruptcy for partnership, corporation or municipality.This thesis is composed by six separated but related parts: the first part will focus on some basic knowledge of discharge, such as the historical development of discharge, the totally opposed thoughts of legislation on bankruptcy and discharge, and the different theories of discharge. Then, we will come to the central part of this thesis--the different theories on discharge, which have not yet been discussed fully and systematically in our country. The author intends to reason this topic from the aspects of the purpose of bankruptcy, law and economics, risk allocation and the idea of humanitarianism. Furthermore, a research on the value of discharge is also necessary: in the macroscopic point, discharge can distribute financial risks rationally which is good for the stabilization of society and the individual credit system; in the microscopic point, it can ensure the creditors' rights and encourage the debtors to have a fresh start. The third, fourth and fifth parts cover the legislation and juristic practice, which include the definition, the conditions, the duration of bankruptcy, the discretionary grounds, the court's power, the procedure, the effects, the exemptions and the revocation of discharge in foreign countries. These three parts are processed in a way of comparison. At the end of this thesis, comes the last part—the legislator of discharge in China and some reasonable suggestions and opinions from the author.Through the analysis of Chinese Bankruptcy Law, the author believes that although there are no written sections and terms about discharge, our bankruptcy law contains the idea of helping the debtors overcome financial distress, which constitutes the soul of discharge. China is in her way of constituting new bankruptcy law, it's doubtless stat personal bankruptcy and discharge would be included. At the same time, in order to exert the significance of discharge, the government should speed up the establishment of relative systems, such as the individual credit system. This thesis aims at providing a comprehensive framework of bankruptcy discharge which can justify its significance through comparing the legislation examples in foreign countries, and then develops an appropriate outline for bankruptcy discharge revision in China.