Article 74. Use of Right to Claim for Subsidiary Liability

The liquidation manager, within three days from the date of receipt of the judicial act that has entered into legal force on bringing the persons managing the affairs of the debtor to subsidiary liability, shall notify the creditors of the choice of the method of using the right of claim for bringing to subsidiary liability.

Within ten days from the date of receipt of such notification, the creditor shall have the right to send an application to the liquidator to choose one of the following ways of using the right to claim for bringing to subsidiary liability:

debt collection in the framework of an insolvency case;

sale of the right to claim;

waiver of the right to claim or part of it in favor of another creditor.

Within twenty days from the date of sending the notice provided for by paragraph one of this article, the liquidation manager shall send to the court a report on the results of choosing the method for using the creditors' right to claim for subsidiary liability.

The report must contain information about the choice of each creditor, the amount and order of claims.

If the creditor fails to submit an application within the period provided for by paragraph two of this article, it shall be deemed that the creditor has chosen the method provided for by paragraph two of paragraph two of this article.

By a judicial act on bringing to subsidiary liability, the court shall:

issue, in accordance with the amount of claims, a writ of execution indicating the order and amount of satisfaction of the claim provided for in article 150 of this Law to each creditor who has chosen the method provided for in paragraph three of part two of this article;

issue an executive document on insolvency in the name of the debtor as a recoverer of the remaining amount.

If the amount of claims of creditors who have chosen the method provided for in paragraph two of part two of this article exceeds the amount of claims of creditors who have chosen the method provided for in paragraphs three and four of part two of this article, the liquidation manager shall recover the debt on subsidiary liability within the framework of an insolvency case. Otherwise, the judicial manager shall convene a meeting of creditors to approve the methods of selling the right of claim and refusal in favor of another creditor.

If a writ of execution on securing the execution of a judicial act on bringing to subsidiary liability is issued in the name of the debtor as a recoverer in a case within the framework of insolvency, and its execution will lead to an excess of the period of liquidation proceedings provided for in Article 140 of this Law, the debt may be recovered by waiving the claim in favor of another person or transfer of debt to another person.