The Consumer Debt Clearance Statute Article 64

If a debtor, who has a salary, income from professional practice, or other fixed income, has made efforts to repay under the conditions of the approved rehabilitation proposal according to his/her income and property status, the court shall approve the rehabilitation proposal. The court shall also approve the rehabilitation proposal if the debtor does not have fixed income, but the rehabilitation proposal has a guarantor, security provider or other person assuming the debts jointly under conditions which are deemed fair by the court.Under any of the following circumstances, the court may not give its approval under the preceding paragraph:1. The creditor was released from his/her obligation in accordance with provisions of the Bankruptcy Act or this Statute within the previous 7 years.2. Any circumstance under any subparagraph of paragraph 1 of the preceding Article.3. The total amount repaid for unsecured and non-preferential claims is obviously lower than the total amount which would be repaid if determined according to the liquidation process at the time of the court's ruling on the initiation of the rehabilitation process.4. The total amount repaid for unsecured and non-preferential claims is lower than the remaining amount of the disposable income of the debtor, after deducting the amount of necessary living expenses for himself/herself and the persons who must be legally supported by him/her during the two years before the application for rehabilitation.In calculating the total amount which would be repaid if determined according to the liquidation process under subparagraph 3 of the preceding paragraph, any property which cannot be appraised easily and any property which may not fall within the scope of the liquidation estate as extended by a ruling in accordance with Article 99, shall be deducted.In any approval ruling under paragraph 1 of this article, the court shall give the creditors notice of the contents of the rehabilitation proposal and the report of the property and income status of the debtor, and shall give the creditors opportunities to state their opinions.