(NEN) Al-Wagayan & Al-Saif law firm organized a seminar under the title “Legal means to collect the debts of the struggling companies”, which was within the framework of the legal and social role. The goal of the seminar was to let the debtors recognize the legal and commercial dimensions to resolve the economic crisis.

The seminar focused on the insolvencies (financial difficulties) caused by the struggling companies for the participants. The seminar, in which both lawyers spoke and stressed that there were efficient means to regain the rights by referring the matter to the judiciary at the request of the creditor.

The talks in the seminar noted that the judiciary is the only keeper (guard) for the investors’ money. As for the commercial debts, they have a privilege of the legislator who made the court’s ruling subject to rapid implementation which was is the advantage of commercial debts over other debts since they are carried out in the first instance of litigation, and then the creditor undertakes the legal procedures recognized by the Kuwaiti law.

The attorneys clarified that resorting to the courts through the civil lawsuits aimed to raise funds and obtain a court ruling that preserves the money which is available at the hands of the creditor so as not to be spent.

He pointed out that the adopted legal procedures are briefed to provide performance and request provisional seizure of the personal properties before the judge of temporal issues.

The speakers at the seminar pointed out that there are lawsuits raised by the companies’ mismanagement and which leads to the partner’s loss. Moreover, the economic crisis has proved that a lot of company owners and shareholders have suffered immense loss.

For his part, Al-Wagayan pointed out that the bankruptcy of some companies has become like anthrax thrown by everyone at each other in order to avoid criminal responsibility.

He also added that the crisis would return back again 25 years later, stressing the necessity for the shareholders in the bankrupt companies to go to the courts and file complaints against the struggling companies based on the false promises made to them (the shareholders).

Legal speakers at the seminar held at the J.W. Marriott Hotel said that the draft law of strengthening the financial stability of the country would not solve the problems of bankrupt and hopeless companies, adding that the Kuwaiti companies are subjected to many legal problems and repercussions of the recent financial economic crisis.

It is worthy to mention that the seminar was a monthly workshop organized by (NEN) Al-Wagayan &  Al-Saif law firm in cooperation with its team members to discuss the latest legal issues, and to specify the problems and find solutions. This seminar serves as a reminder for companies not to depend on hope for solving their problems and collecting debts but to resort to the courts in to get their rights before their chances for negotiations weakens.