Kuwait Court of Cassation principle number 1876

Issuance of a judgment declaring bankruptcy. Its effect. Divesting the bankrupt, from its date, of the administration of all his property, whether related to his trade or not. The reason: all his property guarantees payment of his debts and his patrimony is indivisible. This extends to property devolving upon him while bankrupt, and he may not conduct actions relating thereto except those confined to conservatory procedures benefiting his creditors and not harming them. Example. The respondent company, adjudged bankrupt, appealing the first-instance judgment - 327 - Commercial without the bankruptcy trustee. Void. This is not altered by a subsequent ruling setting aside the bankruptcy judgment. The reason: admissibility of a challenge depends on the challenger's capacity at the time it is lodged. The judgment's disregard of the defense that this appeal is void. An error in applying the law requiring its cassation.