Compulsory settlement proceedings
Our experience shows that it is extremely challenging to secure the absolute consent of all creditors to execute amicable out-of-court debt restructuring. Therefore, companies are often left with no option but to resort either to preventive restructuring proceedings or compulsory settlement. The latter can be proposed either by the debtor or creditors.
We help our clients to evaluate whether compulsory settlement would deliver a higher repayment than a bankruptcy, and we help creditors or debtor draft request for commencement of the compulsory settlement. We provide all ongoing legal and strategic advice, in cooperation with our partners as financial advisory, to commence the compulsory settlement and have it successfully approved by the required creditors’ majority.
Are you a creditor of insolvent company or are you director or owner of an insolvent company? Are you not sure if compulsory settlement would improve your position? Call us for a preliminary evaluation of your options and advisory on compulsory settlement.