Kuwait Court of Cassation principle number 277

An application for a composition to avert bankruptcy submitted by a debtor subject to Law 41 of 1993 or by the Kuwait Investment Authority. It must initially be submitted to the circuit designated at the Court of First Instance to declare the bankruptcy of clients subject to its provisions. - An application for a composition to avert bankruptcy pursuant to Law 41 of 1993. It is subject to the procedures and provisions established by the legislature as an exception to the procedures and provisions of the Commercial Code. Hearing the statements of creditors wishing to be heard and requiring the approval of a quarter of the creditors holding half the debts as a condition for the court's ratification of the composition. Among the exceptional procedures. Effect. These creditors must be joined as parties for a ruling to continue the declaration of bankruptcy or approve the preventive composition. Articles 14, 17 of the aforementioned Law.