TAFLIS

TAFLIS
Taflis is a bankruptcy. Taflis it is a form of the word aflasa masdar, which means changing it into has no property at all. At-taflis (the assignment in bankruptcy) is defined by the scholars with:decision of  judge that prohibits someone acting law him. The ban was dropped because it involved debt that includes or even exceeds all his wealth.
Taflis this condition is the existence of the prohibition or the freezing of assets and actions called by al-hajr. Etymologically al-hajr (freezing) is prohibited and narrow. Resourceful dubbed Al-Hajru as the owner of property freeze myself from doing bad things, such as on the word of God Almighty. Imam Abu Hanifah argued, that people are falling bankrupt not declared as a person who is under the pardon (mahjur alaih), so he still considered capable to carry out legal action. According to him, in the question of property, legal action may not be a limited or revoked altogether, because it is a treasure of treasures of God, can come and could also run out. Therefore, according to Abu Hanifa, a person who fell in bankruptcy because the entangled debts should not be arrested or imprisoned, because imprisoned someone means to curb his freedom as an independent entity.
Scholars besides Malikiyah, stated that to establish those who fell in bankruptcy it is under the pardon, two conditions must be fulfilled,
1.      the debt exceeds the rest of his assets or covering.
2.      the giver of debt demands to the judge so that the people who fell in bankruptcy it is defined under the pardon.
http://alhushein.blogspot.com/2012/01/hukum-kepailitan-taflis-dalam-islam.html