Kuwait Court of Cassation principle number 2426

The Paulian action. The disposition is challenged therein in terms of its effect on the debtor’s wealth, not in terms of its genuineness. Its purpose: restoring the disputed property to the creditor’s general security so that execution may be levied upon it and the claim satisfied from it after the debtor disposed of it to the detriment of his creditors. - The court’s ruling that the disposition is unenforceable. Consequence thereof. Bringing the right disposed of into the creditors’ general security and excluding the creditor who colluded with the debtor to the detriment of the others from the body of creditors. Effect thereof. He does not share with them in the proceeds of the right disposed of upon execution against it, and may recover his debt from his debtor’s estate only from whatever proceeds may remain after execution. Example. - Action for the appointment of arbitrators:-