Bankruptcy in Chinese Courts
In May 2022, to prevent the abuse of personal bankruptcy, Shenzhen issued the Opinions on Enhancing Individual Bankruptcy Filings and Reviews (加强个人破产申请与审查工作的实施意见).
In December 2021, Shenzhen Official Receiver’s Office (ORO) issued the “Shenzhen’s Interim Measures for the Registration and Disclosure of Personal Bankruptcy Information” (深圳市个人破产信息登记与公开暂行办法).
In November 2021, Shenzhen issued the proposed “Shenzhen’s Administrative Measures for the Roster Management of Administrator of Personal Bankruptcy Cases (for Trial Implementation)” (深圳市个人破产案件管理人名册管理办法(试行)) for public comments.
In July 2021, Shenzhen Intermediate People's Court ruled to approve a personal reorganization plan, marking the first personal bankruptcy case ruled in China since the implementation of the “Regulation of Shenzhen Special Economic Zone on Personal Bankruptcy”.
In May 2021, Shenzhen Intermediate People’s Court accepted five personal bankruptcy applications, which are the first batch of personal bankruptcy applications since the implementation of the “Personal Bankruptcy Regulation of Shenzhen Special Economic Zone” (深圳经济特区个人破产条例).
As of 31 Mar. 2021, Shenzhen had received 260 personal bankruptcy applications for the first month of the Regulation's implementation, among which eight were accepted with priority.
This is the second local government in China to establish a personal bankruptcy system.
China-US trade war may bankrupt many Chinese companies, and Chinese courts should get prepared as soon as possible.