On The Bankruptcy Of Exemption

Personal bankruptcy principally is designed to permit debtors rehabilitationthrough 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 anyjudgments against the debtors to the extent that it creates a personal liability, whichcovers all scheduled debts that arose before the date of the order for relief. Dischargewas introduced for the sack of personal bankruptcy and had nothing to do with thebankruptcy for partnership, corporation or municipality.This thesis is composed by six separated but related parts: the first part will focuson some basic knowledge of discharge, such as the historical development ofdischarge, 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 thisthesis--the different theories on discharge, which have not yet been discussed fullyand systematically in our country. The author intends to reason this topic from theaspects of the purpose of bankruptcy, law and economics, risk allocation and the ideaof humanitarianism. Furthermore, a research on the value of discharge is alsonecessary: in the macroscopic point, discharge can distribute financial risks rationallywhich is good for the stabilization of society andthe individual credit system;in themicroscopic point, it can ensure the creditors' rights and encourage the debtors to havea fresh start. The third, fourth and fifth parts cover the legislation and juristic practice,which include the definition, the conditions, the duration of bankruptcy, thediscretionary grounds, the court's power, the procedure, the effects, the exemptionsand the revocation of discharge in foreign countries. These three parts are processedin a way of comparison. At the end of this thesis, comes the last part--the legislatior.of discharge in China and some reasonable suggestions and opinions from the author.Through the analysis of Chinese Bankruptcy Law, the author believes that althoughthere are no written sections and terms about discharge, our bankruptcy law containsthe idea of helping the debtors overcome financial distress, which constitutes the soulof discharge. China is in her way of constituting new bankruptcy law, it's doubtlessthat personal bankruptcy and discharge would be included. At the same time, in orderto exert the significance of discharge, the government should speed up theestablishment of relative systems, such as the individual credit system.This thesis aims at providing a comprehensive framework of bankruptcydischarge which can justify its significance through comparing the legislationexamples in foreign countries, and then develops an appropriate outline forbankruptcy discharge provision in China.