Certificate of insolvency

A certificate of insolvency is issued to the creditor where enforcement ends with no attachable assets found or with sale proceeds insufficient to cover the claim. It officially records the unsatisfied portion of the debt.

The certificate grants significant facilities: it operates as an acknowledgment of the debt, and within the statutory period the creditor may request attachment in a new proceeding without service of a fresh payment order. Standing to bring an action to set aside the debtor's fraudulent transfers is, as a rule, also tied to this document. No interest accrues against the debtor on the certified claim.

Attachment minutes recording the absence of assets are treated by statute as a provisional insolvency certificate and suffice for bringing the avoidance action. Once the debt is paid, the debtor may request deletion of the certificate from the records.