More and more restructuring proceedings

More and more restructuring proceedings

Last year, district courts received nearly 1,650 notices to open simplified restructuring proceedings (UPR).

However, the data is incomplete because the UPR was in effect from June 24, 2020 to November 30, 2021. From December 1 last year, it was replaced by a revised procedure for approval of arrangement. At the same time, the National Register of Debtors (KRZ) came into force. According to information from the Ministry of Justice, during the whole of December last year, 20 new proceedings for composition agreement approval were registered in the KRZ. According to experts, the low number of cases in December was due to technical reasons. For some time it was impossible to use the amended proceedings for approval of composition in the KRZ. To date, the KRZ has been more of a hindrance than a facilitator to conducting proceedings, as it lacks many functionalities and is still under development. With time, however, it will help to streamline restructuring.

Last year, the courts also received 630 applications to open other restructuring proceedings, apart from the UPR. However, from 1 to 31 December last year, 11 such cases were registered in the KRZ. In the whole of 2020, there were about 730 of them.

According to experts, this year the number of restructurings will grow. Entrepreneurs are already facing not only inflation, but also the ongoing war across our eastern border. Car production, transport and the agri-food sector will be particularly affected by the break in cooperation with eastern markets.


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