חוק חדלות פירעון ושיקום כלכלי (תיקון מס' 3), התש"ף-2020Law on Insolvency and Economic Rehabilitation (Amendment No. 3), 2020 · automatic translation · suggest a correction

Official summary of the law (Knesset)

The amendment extended the temporary provision that allows the appointment of trustees not from the list of trustees to be compiled under the Insolvency and Economic Rehabilitation Law, 2018. Under the Law, when an order is given for the opening of proceedings, a trustee is appointed in the proceeding, serving as an officeholder responsible for managing the insolvency proceedings. Due to the broad powers granted to the trustee, clear eligibility conditions and a multi-stage appointment process were established for the position, including the appointment of a public committee that would compile a list of qualified trustees, relying on regulations that the Minister of Justice is required to enact. Due to successive election campaigns, the Government did not manage to complete preparations for appointing trustees under the arrangement set out in the Law. Therefore, a temporary provision was added, valid until 1 July 2020, under which trustees would be appointed not from the list set by the Law, but according to the eligibility conditions and appointment process that were in practice before the Law came into effect. The amendment extended that temporary provision until 1 March 2021. The Law also provides that the Administrator shall appoint trustees according to equitable criteria that it formulates and publishes; the amendment clarified that if there is a significant increase in the number of individual insolvency proceedings, the Administrator shall examine the need to increase the number of trustees who may be appointed under those criteria.

automatic translation · suggest a correction