§ 6-1. Amending a debt settlement at the debtor's petition

The Debt Settlement Act (Gjeldsordningsloven)·LOV-1992-07-17-99

Machine-translated from Norwegian. The Norwegian text is the one that applies. Read the original in Norwegian.Norsk English العربية Polski Українська

In brief

The debtor (skyldner) can ask for an amendment if something unforeseen or special has weakened their ability to meet the settlement.
Mortgage debt on a home (bolig) that has been kept can be reduced if the home has become significantly less valuable, but not below its market value (omsetningsverdi).
Forgotten claims from before the negotiations can be included, unless the debtor deliberately kept them hidden.
A voluntary amendment requires a written decision by the enforcement officer (namsfogden); a compulsory amendment is made in court.

The text of the law (unofficial translation)

§ 6-1. Amendment of a debt settlement at the petition of the debtor

At the petition (begjæring) of the debtor, the court (retten) may confirm a proposal to amend a debt settlement (gjeldsordning) if, during the debt settlement period (gjeldsordningsperiode), circumstances have arisen that the debtor ought not to have foreseen, or if other special circumstances exist that weaken the debtor's ability to fulfil the debt settlement.

If the value of an owned home that has been kept under the debt settlement will, at the end of the debt settlement, be significantly lower than the value set under § 4-7 first paragraph, the court may, at the petition of the debtor, confirm an amendment of the debt settlement that consists of reducing debt secured by security (pant) in the home. This debt may then be reduced to the extent that the debtor's financial position, consideration for the creditors (fordringshaver) and the circumstances otherwise justify. The debt cannot be reduced to an amount lower than the home's market value at the time of the decision.

If the debtor has received a demand on the basis of a claim (fordring) that existed when the debt negotiation (gjeldsforhandling) was opened, but that has not been covered by the debt settlement, the court shall, at the petition of the debtor, confirm an amendment that consists of including the claim in the debt settlement. Such a claim shall then be serviced with the dividend (dividende) the creditor would have been entitled to if the claim had taken part in the settlement, but so that the dividend is only calculated from the time the demand was made to the debtor. Confirmation (stadfestelse) of such an amendment cannot take place if the debtor intentionally or through gross negligence has failed to disclose the claim.

The enforcement officer shall ensure that the debtor receives the necessary guidance to arrive at a voluntary or compulsory amendment. § 4-12 applies correspondingly. A voluntary amendment is only valid if it is confirmed by a written decision of the enforcement officer. The enforcement officer shall refuse to confirm the proposal if it would be unreasonable.

A petition for a compulsory amendment is submitted to the court. The petition shall be accompanied by a proposal for a compulsory amendment that is not contrary to the law. The proposal cannot be confirmed if it would be offensive.

Source: Lovdata — Gjeldsordningsloven (the Debt Settlement Act) § 6-1

What does this mean?

This section lets the debtor ask for an amendment of a debt settlement that is in progress. The main condition is that something has happened that the debtor ought not to have foreseen, or that other special circumstances weaken the ability to meet the settlement. The court can then confirm a proposal for an amendment.

The section has two special rules. The first concerns the home: if a home the debtor has kept becomes significantly less valuable by the end of the period than the value set under § 4-7, the mortgage debt on the home can be reduced. The reduction is made as far as the finances, consideration for the creditors (kreditor) and the circumstances justify, but never below the home's market value at the time of the decision. The second concerns claims that existed when the negotiations opened but were not included in the settlement. If such a claim is made against the debtor, the court shall include it at the debtor's petition, and the creditor is paid a dividend only from when the claim was made. If the debtor deliberately or through gross negligence failed to disclose the claim, there will be no amendment.

How to get there depends on whether the amendment is voluntary or compulsory. The enforcement officer shall give the debtor the necessary guidance. For a voluntary amendment, the rules on adoption in § 4-12 apply correspondingly, and the amendment is valid only when the enforcement officer has confirmed it in writing. The enforcement officer shall refuse if the proposal seems unreasonable. A compulsory amendment is petitioned for in court with a proposal that is not contrary to the law, and the proposal cannot be confirmed if it would be offensive.

The section has a counterpart in § 6-2, where a creditor can ask for revision (omgjøring). Before the court decides such a case, the parties may give their views under § 6-3. The deadlines are in § 6-5: a petition for amendment under the first to third paragraphs must be submitted while the debt settlement period is running. The section is also applied from § 2-4 on assistants (medhjelper).

Related sections

All sections of the Debt Settlement Act →