Bankruptcy Issues and Applications
The Firm provides legal advice to entities subject to Bankruptcy Law based on a thorough review of their legal and financial positions to enable them to take the most appropriate procedure for their positions. We provide, as well, advice and recommendations in order to avoid being subject to sanctions under the subject law.
A procedure, from among the ones listed below, could be adopted based on a review of the legal and financial position of the subject entity:
- Protective Settlement: It allows the debtor to reach an agreement with its creditors to settle its debts while maintaining the management of its company.
- Financial Re-structuring: It allows the debtor to reach an agreement with its creditors by reorganizing its business under the supervision of a bankruptcy/financial reorganization licensed trustee to ensure fairness of the procedure and its execution.
- Liquidation: A procedure in which the debtor’s bankruptcy assets are sold, and the proceeds of the sale are to be paid to the debtor’s creditors and can be triggered by the creditors or the debtor and under the supervision of a bankruptcy licensed trustee.
- Administrative Liquidation: This procedure can only be adopted in the event where the proceeds from the disposal of the bankruptcy assets are not sufficient to cover the expenses of the Liquidation Procedure or small creditors and is usually undertaken by the Bankruptcy Commission as opposed to a registered trustee.