Simplification, Digitalization, And the Use of Artificial Intelligence in Insolvency Proceedings of Agricultural Business Entities
Abstract
This article examines the legal and procedural features of simplified insolvency proceedings involving agricultural business entities in the context of digital transformation and the increasing use of artificial intelligence technologies. The study analyzes the specific characteristics of simplified insolvency procedures, their distinction from general insolvency proceedings, and the criteria determining their application. Particular attention is paid to existing problems in judicial practice, including the prevailing reliance on the absence of debtor assets as the principal criterion for applying simplified procedures, the limited procedural autonomy of applicants, and the lack of clearly defined mechanisms for terminating insolvency proceedings through withdrawal of an application or mediation. The article also evaluates the prospects for introducing artificial intelligence, automated registries, electronic case management, and integrated state information systems for assessing the debtor’s financial and property status, analyzing creditors’ claims, and supporting judicial decision-making. Based on the analysis, proposals are advanced to clarify the statutory grounds for simplified insolvency proceedings, recognize the absence of assets as an explicit criterion for their application, improve the legal status and remuneration of insolvency administrators, and further develop digital mechanisms within insolvency proceedings. The study concludes that digitalization and artificial intelligence can contribute to greater efficiency, transparency, legal certainty, and procedural economy in insolvency proceedings involving agricultural business entities.
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