EFFECTS OF DEATH OF INSOLVENT DEBTOR PENDING INSOLVENCY PROCEEDINGS
IT DEPENDS—
1. If the debtor shall die after the order of adjudication, the proceedings shall be continued and concluded in like manner and with like validity, and effect as if he had lived
2. If the death occurs before the order of adjudication, the proceedings shall be discontinued. The claims must be filed in the proper testate or intestate proceedings as provided for in the R/C on the settlement of decedent’s estate
DUTY OF COURT WHERE PROPERTY EXEMPT FROM EXECUTION
It shall be the duty of the court having jurisdiction of the proceedings, upon petition and after hearing held upon due notice, to exempt and set apart, for the use and benefit of the insolvent, such real and personal property as is by law exempt from execution
WHEN INSOLVENCY PROCEEDINGS DEEMED TO COMMENCE
The filing off a petition by or against a debtor upon which, or upon amendment of which, an order of adjudication in insolvency may be made, shall be deemed to be the commencement of proceedings in insolvency under the Act
WHEN RECEIVER MAY BE APPOINTED
Upon the filing of either a voluntary or involuntary petition in insolvency, a receiver may be appointed by the court in which the proceeding is pending, or by a judge thereof, at any time before the election of an assignee, when it appears by the verified petition of a creditor:
1. That the assets of the insolvent, or a considerable portion thereof, have been pledged, mortgaged, transferred, assigned, conveyed, or seized, on legal process, in contravention or violation of the provisions of section seventy of this Act, and
2. That it is necessary to commence an action to recover the same. The appointment, oath, undertaking, and powers of such receiver shall in all respects be regulated by the general laws of the Philippine Islands applicable to receivers.
When an assignee is chosen, and has qualified, the receiver shall forthwith return to court an account of the assets and property which have come into his possession, and of his disbursements, and a report of all actions or proceedings commenced by him for the recovery of any property belonging to the estate, and the court shall thereupon summarily hear and settle the receiver's
account, and shall allow him a just compensation for his services and his expenses, including a reasonable attorney's fee, whereupon the receiver shall deliver all property, assets, or effects remaining in his hands, to the assignee who shall be substituted for the receiver in all pending actions or proceedings.
WHEN PETITION MAY BE DISMISSED
1. Upon the application of the debtor, if it be voluntary petition, if no creditor files a written objection
2. If a creditor's petition, dismiss the petition and the discontinue the proceedings at any time before the appointment of an assignee
3. After the appointment of an assignee, no dismissal shall be made without the consent of all parties interested in or affected thereby.