Over-indebtedness: which procedures exist under the Codice della crisi and how to choose with your lawyer
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In breve: over-indebtedness is the state of crisis or insolvency of those who cannot be subjected to judicial liquidation: consumers, professionals, small entrepreneurs. The Codice della crisi (Legislative Decree 14/2019) offers four routes: the debt restructuring of the consumer (arts. 67-73), the minor composition agreement (arts. 74-83), controlled liquidation (arts. 268-277) and, for those with nothing to offer creditors, the discharge of the debtor with no assets (art. 283). Which route is the right one is decided by your lawyer and the OCC, looking at income, assets and the history of the debts; you can get there with a file already in order.
What over-indebtedness means
Art. 2 of the Code defines over-indebtedness as the state of crisis or insolvency of the consumer, the professional, the minor entrepreneur, the farmer, innovative start-ups and any other debtor who cannot be subjected to judicial liquidation or to compulsory administrative liquidation. A consumer is a natural person who has acted for purposes unrelated to any business, commercial, craft or professional activity that they may carry on. The distinction matters: the minor composition agreement, for example, is not open to consumers (art. 74).
The four procedures, compared
| Procedure | For whom | What is proposed |
|---|---|---|
| Debt restructuring of the consumer (arts. 67-73) | The consumer | A plan, with the assistance of the OCC, which may include partial payments |
| Minor composition agreement (arts. 74-83) | Those in over-indebtedness who are not consumers | A proposal to creditors, where business continuity or an external contribution of resources exists |
| Controlled liquidation (arts. 268-277) | Those in over-indebtedness, consumers or not; for the insolvent debtor also on creditors' application | Liquidation of assets, with exclusions, and then discharge |
| Discharge of the debtor with no assets (art. 283) | The deserving natural person with no benefit for creditors | No payment: release from debts, only once |
Who does what: debtor, OCC, lawyer, judge
Applications go through an organismo di composizione della crisi (OCC, the debt-crisis advisory body), established in the district of the court, which assists the debtor and reports to the judge on the causes of the indebtedness, diligence, the reasons for the inability to pay and the reliability of the documents (art. 68). The lawyer sets the strategy and handles the filings. The judge decides: admissibility, court confirmation, discharge. The debtor has a task that no one can perform on their behalf: reconstructing the data and documents with precision.
The conditions that apply to everyone
The Code looks at the debtor's deservingness: for the consumer, art. 69 excludes anyone discharged in the previous five years, anyone who has already had two discharges, and anyone who caused the over-indebtedness through gross negligence, bad faith or fraud. Similar conditions of wilful misconduct, gross negligence and fraud appear in discharge (arts. 282 and 283). For this reason, the list of acts carried out in the last five years and candour about the causes of the debts are the most delicate part of the file.
What Veryfy does, and what it does not do
Veryfy does not represent you in court and does not replace either the lawyer or the OCC. The free questionnaire puts your data in order; the Over-indebtedness report at 29€ compares it with what appears in public sources in your name (protests, insolvency proceedings, adverse entries, positions and shares in companies, property in the Land Registry) and produces a PDF for the professional. It does not include data from CRIF, Experian, CTC or the Centrale dei Rischi, which you can request free of charge as a data subject (how long records stay in CRIF, how to find out whether you have protests in your name).
This guide explains the law in general terms and is not legal advice: anyone in over-indebtedness needs a professional who looks at their case and the law currently in force.
Sources
- Legislative Decree of 12 January 2019, no. 14 (Codice della crisi d'impresa e dell'insolvenza, the Italian corporate crisis and insolvency code), current text on Normattiva, to be re-checked before any use; articles read on 24/10/2026 on Brocardi.it
- Arts. 67-73 CCII, debt restructuring of the consumer, consulted on 24/10/2026
- Arts. 74-83 CCII, minor composition agreement, consulted on 24/10/2026
- Arts. 268-277 CCII, controlled liquidation, consulted on 24/10/2026
- Art. 283 CCII, discharge of the insolvent debtor with no assets, consulted on 24/10/2026
Frequently asked questions
What is over-indebtedness?
It is the state of crisis or insolvency of those who cannot be subjected to judicial liquidation: consumers, professionals, minor entrepreneurs, farmers, innovative start-ups and other debtors (art. 2 of the Codice della crisi).
What over-indebtedness procedures exist?
Four: the debt restructuring of the consumer (arts. 67-73), the minor composition agreement (arts. 74-83), controlled liquidation (arts. 268-277) and the discharge of the debtor with no assets (art. 283).
Who chooses the right procedure?
The choice rests with the debtor together with their lawyer and the OCC, who assess the profile (consumer or not), income, assets and the causes of the debts. A website cannot make that choice for them.
Can Veryfy file the application with the court?
No. Veryfy prepares a partisan document with your declarations and public data in your name, to be handed to the professional. The application goes through the OCC and your lawyer.
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In this pillar
- Consumer debt restructuring (consumer plan): requirements, content and what the judge decides
- Minor composition agreement (concordato minore): who can access it, what the proposal must contain, and when external resources are needed
- Controlled liquidation of the over-indebted debtor: which assets and income stay outside and what happens afterwards
- Discharge of the insolvent debtor with no assets (art. 283 CCII): who can apply, only once, and with which obligations
- OCC, the debt-crisis advisory body: what it does and what it must report to the court about your case
- Over-indebtedness: the documents to prepare before seeing the lawyer and the OCC
- Deservingness in over-indebtedness: gross negligence, bad faith, fraud and the other conditions of art. 69 CCII