From December, it will be possible to take advantage of the new hybrid arrangement approval procedure.
A few days ago, the President signed an amendment to the Act on the National Register of Debtors. Thanks to this, it will be possible to extend the simplified restructuring procedure introduced a year ago in the form of an amended procedure for approval of an arrangement.
The popularity of the simplified restructuring process was the reason for taking legal steps aimed at maintaining the simplified restructuring in the Polish legal order. Well, from the end of June 2020 to the end of March 2021, the number of notices about the opening of simplified restructuring accounted for as much as 71% of all restructuring proceedings. The popularity of this type of restructuring results from the many advantages attributed to it (we wrote about them here).
The modifications to the provisions on simplified restructuring were used to prepare the provisions on the hybrid procedure for approval of the arrangement. The most important changes concern:
- the announcement about the opening of proceedings will be made by the arrangement supervisor, not by the debtor,
- the supervisor’s liability towards creditors will increase,
- more tight protection against enforcement of the debtor by creditors will be provided,
- the regulation prohibiting the termination of key contracts for entrepreneurs will be more flexible,
- take advantage of this restructuring solution will be able to wound for ten years.