Bankruptcy Between Legislation and Punishment: When Business Failure Becomes a Crime

Abstract

 العلاقات بين التجار. Commerce is one of the vital economic activities that plays a fundamental role in meeting individual needs and achieving economic growth. At its core, commercial activity relies on the elements of speed and credit, both of which can only be sustained through the debtor merchant's commitment to settling debts on their due dates. Accordingly, most modern legislations have established systems of bankruptcy and judicial settlement as legal mechanisms to ensure the protection of creditors' rights in cases where the debtor fails to meet obligations and ceases to pay debts upon maturity. Such failure can disrupt commercial transactions and threaten the stability of relationships among merchants.