Insolvency for advance payments under LARPA

ATA/708/1998Court of Justice / Administrative ChamberNov 10, 1998Confirmed

Extracted by Omnilex

Omnilex summary

The decision addresses advance payments for child-support maintenance under LARPA. It states that insolvency exists once payment or recovery becomes impossible, even only in part. On that basis, the reduction of advances by the Scarpa is treated as the cessation of payments that cannot be recovered in the long term, an interpretation regarded as compatible with the statute's objectives.

Omnilex headnote

LARPA art. 11; insolvency condition for advance payments and recovery of amounts advanced: insolvency is fulfilled as soon as reimbursement or recovery proves impossible, even partially. A reduction of advances may be assimilated to the cessation of payment of sums not likely to be recovered in the long term, if such an interpretation accords with the purpose of the statute.

Full text

Descripteurs

OBLIGATION D'ENTRETIEN; AVANCE(EN GENERAL); ENFANT; INSOLVABILITE; RECOUVREMENT; REMBOURSEMENT DE FRAIS(SENS GENERAL); SUBVENTION; IP

Normes

LARPA.11

Résumé

La condition d'insolvabilité est réalisée dès qu'un paiement s'avère irréalisable, même partiellement, la réduction des avances n'étant pas autre chose qu'une cessation du versement des montants non susceptibles d'être recouvrés à long terme. La condition d'insolvabilité est réalisée dès qu'un recouvrement s'avère irréalisable, même partiellement. L'interprétation de l'art. 11 LARPA, selon laquelle la réduction des avances par le Scarpa n'est pas autre chose qu'une cessation du versement des montants non susceptibles d'être recouvrés à long terme, apparaît soutenable en regard des objectifs de la loi.

Keywords

maintenance obligationadvance paymentschildinsolvencyrecoveryreimbursementsubsidy

Extracted by Omnilex

Key legal question

Whether insolvency exists under LARPA when recovery of advance payments is impossible only in part.

Extracted holding

Yes. Insolvency is established as soon as payment or recovery proves impossible, even partially.

Extracted reasoning

The court accepted that reducing advances is functionally equivalent to stopping payment of amounts that are not likely to be recoverable in the long term, which is consistent with the statute's purpose.

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