If the seller invokes the right of rescission before removal, are the creditors liable for damage caused by removal?
General Chapter
Al-Mughni
Book of the Insolvent (Bankruptcy)
Primary text
If the seller is permitted to reclaim before removal and the creditors remove the improvements, they are obliged to level the earth from the pits and compensate for the land's diminished value. This liability arises because the damage occurred subsequent to the seller's claim over the original asset while the land was being cleared of the bankrupt's property.
Supporting text
Conversely, if the seller's right to reclaim is deemed established only after removal, the creditors are not liable for leveling or compensating for the damage, because their actions occurred on the bankrupt's property before the seller definitively reclaimed ownership.