Debtor

China s Bad Debtor

Principle of debtor protection

Notification of the debtor

The Debtor Prisoner s Dilemma

Right to notify the debtor

2. The debtor may raise against the assignee any other right of set off, provided that it was available to the debtor at the time notification of the assignment was received by the debtor.

2. The debtor may not waive defences

In the insolvency of a non grantor debtor, the creditor is an unsecured creditor with an unsecured claim against the non grantor debtor.

6. If the debtor receives notification of the assignment of a part of or an undivided interest in one or more receivables, the debtor is discharged by paying in accordance with the notification or in accordance with this article as if the debtor had not received the notification. If the debtor pays in accordance with the notification, the debtor is discharged only to the extent of the part or undivided interest paid.

Orthodoxy has always upheld the sacred rights of the creditor political necessity has frequently demanded relief for the debtor. Which side wins in any situation depends on the extent of debtor distress and the strength of the opposing creditor debtor coalitions.

1. Until the debtor receives notification of the assignment, the debtor is entitled to be discharged by paying in accordance with the original contract.

Where the security right at issue (which secures the debtor's obligation) is granted by the debtor, the term debtor also refers to the grantor.

Defences and rights of set off of the debtor

(b) Assets of the debtor property, rights and interests of the debtor, including rights and interests in property, whether or not in the possession of the debtor, tangible or intangible, movable or immovable, including the debtor's interests in encumbered assets or in third party owned assets

The law governing the original contract determines the effectiveness of contractual limitations on assignment as between the assignee and the debtor, the relationship between the assignee and the debtor, the conditions under which the assignment can be invoked against the debtor and whether the debtor's obligations have been discharged.

5. If the debtor receives notification of one or more subsequent assignments, the debtor is discharged by paying in accordance with the notification of the last of such subsequent assignments.

(1)A serious financial difficulty occurs to the issuer or debtor

Failure of the assignor to perform the original contract does not entitle the debtor to recover from the assignee a sum paid by the debtor to the assignor or the assignee.

4. If the debtor receives notification of more than one assignment of the same receivable made by the same assignor, the debtor is discharged by paying in accordance with the first notification received.

2. After the debtor receives notification of the assignment, subject to paragraphs 3 to 8 of this article, the debtor is discharged only by paying the assignee or, if otherwise instructed in the notification of the assignment or subsequently by the assignee in a writing received by the debtor, in accordance with such payment instruction.

1. The debtor may agree with the assignor in a writing signed by the debtor not to raise against the assignee the defences and rights of set off that it could raise pursuant to article 18. Such an agreement precludes the debtor from raising against the assignee those defences and rights of set off.

(4)The debtor will probably become bankrupt or carry out other financial reorganizations

Law applicable to the rights and obligations of the assignee and the debtor

1. Except as otherwise provided in this Convention, an assignment does not, without the consent of the debtor, affect the rights and obligations of the debtor, including the payment terms contained in the original contract.

8. This article does not affect any other ground on which payment by the debtor to the person entitled to payment, to a competent judicial or other authority, or to a public deposit fund discharges the debtor.

However, where the security right at issue is granted not by the debtor but by a third party (e.g. on the basis of some contractual arrangement with the debtor), the term debtor refers to the third party grantor, since only in that third party grantor's insolvency is the secured creditor a secured creditor with a proprietary right in the encumbered assets.

This created a two speed Europe, with debtor countries sinking under the weight of their liabilities, and surplus countries forging ahead. As the largest creditor, Germany could dictate the terms of assistance, which were punitive and pushed debtor countries towards insolvency.

(c) The debtor does not and will not have any defences or rights of set off.

Long term sustainability of debt depends mainly on the growth and export prospects of debtor countries.

(d) The right of a counterparty to terminate any contract with the debtor is suspended and

3. If the debtor receives more than one payment instruction relating to a single assignment of the same receivable by the same assignor, the debtor is discharged by paying in accordance with the last payment instruction received from the assignee before payment.

Default judgment

I am debtor both to Greeks and to foreigners, both to the wise and to the foolish.

I am debtor both to Greeks and to foreigners, both to the wise and to the foolish.

Moreover, some debtor countries which have gone through debt restructurings soon resumed their access to capital markets.

1. In a claim by the assignee against the debtor for payment of the assigned receivable, the debtor may raise against the assignee all defences and rights of set off arising from the original contract, or any other contract that was part of the same transaction, of which the debtor could avail itself as if the assignment had not been made and such claim were made by the assignor.

3. This Convention does not affect the rights and obligations of the debtor unless, at the time of conclusion of the original contract, the debtor is located in a Contracting State or the law governing the original contract is the law of a Contracting State.

(a) Original contract means the contract between the assignor and the debtor from which the assigned receivable arises

At the end of this period, debtor countries may request a five year rescheduling of the deferred amounts.

(a) Assets of the debtor, including the debtor's interest in encumbered assets and in third party owned assets

I am debtor both to the Greeks, and to the Barbarians both to the wise, and to the unwise.

I am debtor both to the Greeks, and to the Barbarians both to the wise, and to the unwise.

For judgment is without mercy to him who has shown no mercy. Mercy triumphs over judgment.

For judgment is without mercy to him who has shown no mercy. Mercy triumphs over judgment.