Liquidation of the estate according to the provisions of the bankruptcy

Regardless of whether the deceased is subject to bankruptcy or not the liguidation of an estate which is refused or the stocks of which cannot compensate the debts by the civil court of peace according to the provisions of Enforcement and Bankruptcy Law is called the liquidation of the estate according to the provisions of the bankruptcy.If the heritage is refused by all the nearest legal heirs (TMK a. 612), and should the heirs refuse the heritage in favour of subsequent heirs and should the subsequent heirs also refuse this heritage (TMK a. 614) the estate is liquidated according to the provisions of the bankruptcy. Moreover, in cases of legal refusal (TMK a. 605/II) the estate is liquidated according to the provisions of the bankruptcy. In addition to refused heritages, the estate is also liquidated according to the provisions of the bankruptcy in the case that the estate stocks cannot compensate the depts (TMK a. 636).While liquidating the estate according to the provisions of the bankruptcy, different from other bankruptcy liquidations, civil court of peace replaces the commercial court, enforcement court and the bankruptcy department, and liquidator (liquidation officer) replaces the administration of bankruptcy. In this type of liquidation procedure, civil court of peace has the authority to examine complaints and rejections to the tabulation, and to decide to close (end) the liquidation according to the bankruptcy procedures. Liquidator (liquidation officer) conducts the administration and liquidation of the estate.While liquidating the estate according to the provisions of the bankruptcy, part eight provisions of the Enforcement and Bankruptcy Law concerning the liquidation of the bankruptcy are applied (İİK a. 180). Stocks of the estate are sold by the liquidator (liquidation officer) through auction or bargaining and debts are paid according to the tabulation. After the liquidation according to the provisions of the bankruptcy ends, civil court of peace decides to close (end) the liquidation. Though exceptional, if there are remains at the end of the liquidation, this portion is given to the heirs as if they did not refuse the heritage.Key Words:1. Estate2. Heritage3. Bankruptcy4. Liquidation5. Peace Court