On 1 July 2021, a number of legislative amendments came into force under the collective title “A More Efficient Bankruptcy Administration”. The purpose of these reforms is to digitalise, modernise and streamline bankruptcy proceedings in Sweden. Key changes include extended use of digital communication and the replacement of the previously mandatory oath hearing (edgångssammanträde) with a statement of confirmation made during a meeting with the bankruptcy trustee. Additionally, the minimum distribution amount has been raised from SEK 100 to SEK 300, and the deadline for claiming a distribution has been shortened from two years to one year after the distribution decision becomes legally binding.

Expanded Use of Digital Communication

One of the major changes implemented is the increased possibility of using digital communication in bankruptcy proceedings. For instance, petitions for bankruptcy submitted by individuals may now be digitally signed, provided the signature qualifies as an advanced electronic signature, such as one made using BankID. If the applicant represents a public body, typically the Swedish Tax Agency, no signature is required at all.

Various notices and notifications from the district court or the trustee may now be sent via email, if deemed appropriate. The same applies to the lodging of claims and objections, which no longer need to be signed by hand.

As a general rule, bankruptcy decisions are now published solely in the Official Swedish Gazette (Post- och Inrikes Tidningar) online. There is no longer any requirement to publish such announcements in a local newspaper, unless there are exceptional reasons to do so.

The Bankruptcy Inventory

Previously, it was not explicitly stated that liabilities were to be included in the bankruptcy inventory (konkursbouppteckning), although they were often included in practice. This requirement has now been clarified. The obligation to list the creditors' postal addresses has been removed and may instead be replaced with alternative addresses such as email.

A new requirement has been introduced for the inventory to include a distribution forecast. Like the statement of liabilities, this is something trustees often already provided. The trustee is now also responsible for notifying creditors of this forecast.

Confirmation of the Bankruptcy Inventory

In place of the formal oath hearing in court, a meeting – the inventory confirmation meeting – is now held at the office of the bankruptcy trustee. At this meeting, the debtor must confirm the contents of the inventory, with any additions or amendments, through a signed statement – differing from the previous practice of a sworn verbal oath. The confirmation may be either physical or digital and, like the former oath, is made under penalty of perjury. The procedure largely mirrors that used in court, but without the court’s involvement at this stage.

The Swedish Supervisory Authority for Bankruptcy Trustees and the petitioning creditor (if not the debtor) are called to attend, just as they would have been in court. The same participants are therefore present at the trustee-led meeting as would have been at a court hearing.

This change also applies to individuals whose confirmation is deemed significant for the administration of the estate, even if they do not represent the debtor. It is up to the trustee to assess whether someone’s confirmation is relevant and should be summoned. This may be initiated by the trustee, a creditor, or the Supervisory Authority. If the trustee denies a request for confirmation, the matter can be referred to the court for review. Should it be determined that a person’s confirmation is important, they must, as a general rule, be summoned to the meeting and asked to confirm the contents of the inventory, with any necessary amendments.

It is important to note that the option to hold a traditional oath hearing in court still remains. This may be requested by the trustee, typically in cases where the person required to confirm the inventory is difficult to locate or unwilling to attend. In such situations, the court’s authority and enforcement measures may be necessary to compel attendance.

Public Access to Records

The reform also extends public access to official documents to include materials related to the confirmation of the bankruptcy inventory. Although this principle primarily applies to government agencies, trustees must now ensure proper registration and recordkeeping for these documents.

Entry into Force

The amendments came into effect on 1 July 2021. The new rules regarding inventory confirmation and the updated time and monetary thresholds for entitlement to distributions apply only to bankruptcies filed after this date. Other changes apply to all bankruptcies, including those initiated before 1 July 2021.