Article 1.　The aim of this Law exists in keeping stability in individual lives and maintaining wholesome enterprises of judicial persons by assigning losses impartially between obligors who have incurred gross losses in reference to the special measures regarding the war indemnity of this time and obligees for these obligors'sake.

Article 2.　Those obligors who come under the provisions of the preceding article may apply for the commencement of the special composition procedure in the cases where there are or may be any causes of bankruptcy or there are possibilities of them.

Article 3.　When there is presented an application for commencing special composition and that for the ordinary composition or for the bankruptcy, the composition procedure or the bankruptcy procedure shall be suspended.

Article 4.　When there is presented an application for commencing special composition, the compulsory execution, provisional seizure, provisional disposition or auction specified in Auction Law shall not be effected upon the obligor's estates in respect to the special composition claims, and the compulsory execution, provisional seizure, provisional disposition or auction procedure specified in Auction Law may be suspended by the Law court on application or on its authority.

Article 5.　Even when the conditions of special Composition are not equitable to the respective special composition obligees, the law courts may decide the commencement or the approval of the special composition, when they recognise that it does not prejudice partiality, though there exists an unequalibility among the obligees, taking into consideration the amount of claim, the time of establishment of the obligation, the existence or non-existence of the right to securities, and other miscellaneous circumstances due to the enforcement of the Law concerning the Special Measures of War Indemnity.

Article 6.　The claims mentioned in the following items shall be excluded from the special composition claims:

Article 7.　The claims concerning the right of a person who has the right to be defrayed preferentially in the case of bankrupt, shall be deemed special composition claims as to their total sum.

Article 8.　The law courts may suggest reconciliation by themselves or make any person deemed proper try reconciliation according to the circumstances.

Article 9.　The obligor shall state his opinion on the special composition claims at the assembly of obligees.

Article 10.　When the law courts deem necessary, they may change on official authority the conditions of special composition, after hearing the opinion of the administrator and adjustment committee, but it shall be limited to the case where the interests of obligees and obligors are regarded not to be remarkably damaged and special composition is regarded to be easily materialized.

Article 11.　In order to get the approval of special composition at the assembly of obligees, it shall be sufficient to get the agreement of a majority of special composition obligees who are present and capable to exercise a vote and whose claims excede one half of total claims of the special composition obligees who have given notice thereof.

Article 12.　In case the law courts consider that the conditions of special composition are impartial and in accord with the benefit in general of special composition obligees, may make a ruling to approve special composition, after hearing the opinion of administrators and the adjustment committee, despite the disapproval of special composition decided at the assembly of obligees. The same is the case where the proceedings or resolution of special composition are contradicted to the provisions of the Law and their defects cannot be made good where the assembly of obligees did not make any resolution concerning the special composition and also where the said assembly was not organized.

Article 13.　When the ruling of approval of the special composition becomes final, the applications for composition or bankruptcy of which the proceedings have been suspended in accordance with the provisions of Article 3, and the compulsory execution, provisional attachment, provisional disposition or the auction proceedings according to Auction Law which have been suspended according to the provisions of Article 4 shall become void.

Article 14.　The provisions of the Composition Law shall be applied mutatis mutandis to the special composition, unless otherwise provided for in this Law, excepting the provisions of Articles 9, 16 and 64 of the Composition Law, the part in the provisions of Article 57 of the said Law to which the provisions of Article 342 of the Bankruptcy Law are applied mutatis mutandis and the part in the provisions of Article 62 of the Composition Law, to which the provisions of Article 330 of the Bankruptcy Law are applied mutatis mutandis.

Article 15.　The present Ordinance shall not apply to the banking institutions provided by the Law concerning the Emergency Measures for the accounts of Financial Institutions, to special account Companies provided by the Law concerning the Emergency Measures for the Account of Companies, and to those excepting the special account companies, of Paragraph 1 of Article 39 of the said Law.