Cap. 13 ст. 481Declaration of bankruptcy on demand of creditor. Declaration may not be sought by childagainstparent or vice versa, etc. When declaration may be sought after death of trader. Creditor demanding adjudication of bankruptcy to give security.

(1) Any creditor may, whether the debt owing to him is a commercial debt or otherwise, and even though such debt has not yet fallen due, proceed summarily before the Civil Court (Commercial Section), against a trader who is his debtor, or his lawful representative, demanding a declaration that such trader is in a state of bankruptcy.

(2) A declaration of bankruptcy may not be sought by a child against their parent, or by a parent against their child, or by one spouse against the other.

(3) The bankruptcy of a trader, being a natural person, may be declared after his death, if prior to his death he had suspended payments; in such case the declaration of bankruptcy cannot be demanded by the creditors except within three (3) months from the death of the debtor.

(4) In the case of a demand for a declaration of bankruptcy as provided in this article, the creditor making the demand shall, simultaneously with the demand, give security in an amount that shall be equivalent to the greater of ten percent (10%) of the debt owing to such creditor, or one thousand euro (€1,000) in favour of the party against whom the demand is made, for the due prosecution of the case without delay and the substantiation of his claim; in default whereof, the court may order the amount of the security to be paid, in whole or in part, to the party in whose favour such security has been given:

Provided that such payment shall not operate as a bar to an action against the creditor for damages and interest arising from such proceedings.