The Application Of Bankruptcy Law On The Acceleration Clause Of The Loan Contract

The acceleration clause of the loan contract is an important measure to protect thesafety of bank loans and to control credit risks. The acceleration clause is on behalf ofthe contract law of the concept of autonomy which has conflict with "fair repaymentof creditors" concept of bankruptcy law. In Bankruptcy cases, compared with contractlaw, bankruptcy law is an particular law, therefore the acceleration clause should besubject to the bankruptcy law. After recovering the loans in advance, if the debtorenters into bankruptcy proceedings in six months, should the bank’s behavior berevoked according to the enterprise bankruptcy law Article32or is it belongs to theright of bankruptcy offset? This paper discusses the above problems.This paper consists of three chapters:Chapter One gives an overview about the acceleration clause and its problems inbankruptcy law. It is mainly about the reason why the bank used to set an accelerationclause in a loan contract, the legal nature and regulations of the acceleration clauseand the problems exist in terms of it in the bankruptcy law.Chapter Two analyzes the application of the enterprise bankruptcy law Article32tothe acceleration clause. It analyzes the gesetalichen Tatbestand and the pleadingstandards of the right of bankruptcy rescission and focused on whether accelerate duereasons are valid, whether subjective good faith is a defense and whether the negativeact of the debtor is a defense. Chapter Three is about whether the behavior that Bank announcing loans toaccelerate the maturity based on the acceleration clause belongs to the right ofbankruptcy offset or not. Through analyzing the gesetalichen Tatbestand and thepleading standards of the right of bankruptcy offset and the legal nature of deductingfor outstanding loan, deducting for outstanding loan is considered to be offset right incivil law. Bank’s behavior should be subject to the enterprise bankruptcy law Article32. But considering the special status of Bank and the legal nature of deposits, afterentering bankruptcy proceedings the bank can charge off bankruptcy repayment.