Refuting debtor’s legal acts (actio Pauliana)

The rule is that the obligatory relations between the debtor and third parties for the creditor are res inter alios acta. An exception to this rule is the possibility for a creditor to, under certain conditions, refute legal actions taken by his debtor with a third party.

The creditor refutes such actions by filing a lawsuit (actio Pauliana) against a third party i.e. by pointing out an objection against the third party’s claim against the creditor’s debtor or his legal successors, to whom the debtor has transferred certain rights.

Terms of Refuting debtor’s legal acts

The basic general premise for refutation is

  • that there is a creditor’s claim against the debtor due for collection (regardless of when it arose) and
  • that the debtor is insolvent (which the creditor is obliged to prove).

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