Kuwait Court of Cassation principle number 3627

An application for a composition preventing bankruptcy submitted by a debtor subject to Law 41 of 1993 or by the Public Investment Authority. It must initially be presented to the chamber of the Court of First Instance designated for declaring the bankruptcy of customers subject to its provisions. - An application for a composition preventing bankruptcy pursuant to Law 41 of 1993. Its subjection to the procedures and provisions established by the legislature as an exception to the procedures and provisions contained in the Commercial Code. Hearing the statements of creditors who so wish and requiring the consent of one quarter of those holding half of the debts as a condition for the court's ratification of the composition. Among the exceptional procedures. Its effect. Those creditors must be joined as parties in order to adjudicate continuation of the bankruptcy declaration or approval of the composition preventing bankruptcy. Articles 14 and 17 of the said Law.