Debt and insolvency in families: problem diagnosis under the bankrupty act reform

Abstract

The present work addresses legally the growing problem of debt and insolvency of Spanish households and their membership. Its approach can be done by tackling the problematic of a similar agent in applicable legislation: the consumer, which only can be set neither operating as a business or industrial activity, nor (subjectively) as a firm. After framing common legal concepts it would be essential compare different legal models in indebtedness and insolvency of consumer, and thus his family. This contrasts with the Spanish reality that, despite some unsuccessful attempts, no ad hoc regulation addresses this serious problem. Lack in Spanish legislation of a previous off court procedure requires not only the specific analysis of bankruptcy proceedings with the current existing collective, but the proposal lege ferenda of measures to help solving the problems of broken consumers. Especially after the announcement by the Government, enacting Law 3/2009, of 27 March, tackling urgent measures in taxation, financial and bankruptcy to change economic situation, a comprehensive amendment of bankruptcy act is promoted which seeks to address the specific treatment of over-indebtedness for consumers and their families.