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RB Restructuring S.A. supports one of the first simplified restructuring procedures in Poland

From 24 June 2020 there is a law called ‘Tarcza’ 4.0”, with which it was possible to conduct a rapid, effective restructuring procedure.

From 24 June 2020 there is a law called ‘Tarcza’ 4.0”, with which it was possible to conduct a rapid, effective restructuring procedure.

In order to initiate a simplified restructuring procedure, it is sufficient to make a notice in the Court and Economic Monitor and to conclude an agreement with the restructuring adviser.

This means that from that date applications may be submitted for an appropriate notice.

From 24 June 2020 there is a law called ‘Tarcza’ 4.0”, with which it was possible to conduct a rapid, effective restructuring procedure. In order to initiate a simplified restructuring procedure, it is sufficient to make a notice in the Court and Economic Monitor and to conclude an agreement with the restructuring adviser.

This means that from that date applications may be submitted for an appropriate notice. first such conclusions have already been received by MSiG, RB Restructuring S.A. supports one of the first proceedings conducted in Poland under the new procedure.

We would like to remind you that the main benefits of the new restructuring procedure are:

  • - the opening of the restructuring procedure is based on a unilateral declaration by the debtor – the date of the opening will be the date of the notice in the Court and Economic Monitor;
  • - the decision of the court will not be required until the restructuring proceedings have started;
  • - as from the date of the notice, the enforcement proceedings relating to claims covered by the arrangement shall be suspended, the suspension of enforcement shall also cover claims secured by the forfeiture;
  • - the liability of the persons managing the company for commercial and public liabilities is excluded on similar terms as in the case of a bankruptcy application or a request to open restructuring proceedings;
  • the collection of votes relating to arrangement proposals from creditors will take place as in the case of the agreement approval procedure, but the arrangement supervisor will be able to convene a meeting of creditors that can be held using electronic means of communication (e.g. Skype, Zoom, etc.);
  • Within 4 months from the opening of proceedings, the debtor should apply to the court for approval of the arrangement, otherwise the procedure will be terminated by law;
  • where the simplified procedure fails to approve the agreement, the entrepreneur may continue to benefit from other options available under restructuring and bankruptcy law.

The new procedure gives real chances to make rapid use of the possibility of restructuring. However, it is worth remembering that ultimately the possibilities depend on the situation in which the company is situated, on the types of claims, the attitude of creditors, the real chances of continuing to operate and many other factors.

Analysis of the situation of the company and the development of a good action plan can be quite complicated and time consuming. Therefore, it is not worth waiting until the last minute, just in case of growing backlogs in debt repayment as soon as possible to find help and find ways to stop the deepening crisis.

An entrepreneur interested in the use of a simplified restructuring procedure should ask the restructuring consultant. Following the conclusion of the contract with the restructuring advisor, he will prepare the necessary documents, contact with creditors and the court and establish a restructuring strategy with the entrepreneur.

Please contact us:

http://www.rbrestrukturyzacje.pl/index.php

RB Restructuring S.A.

Lumpy 14, 40-040 Katowice

Tel. 32,731 34 20 or 793,001,979

mail.: katowice@russellbedford.pl

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