Persons entitled to file an insolvency application and insolvency (IS) proceedings entry criteria:
1) A non-secured creditor or a secured creditor (regarding the non-secured part of the claim), in cases where:
Preconditions for starting an LPP:
1) no liquidation initiated against the debtor;
2) in the previous 5 years, the debtor has not implemented and completed LPP;
1) Debtor prepares OCLPP plan & obtains approval from creditors:
- more than 50% non-secured creditors (total of principal claims);
- at least 2/3 secured creditors (total of principal claims).
Who may not vote (on approval the plan): persons in the same group of companies, shareholders (natural persons) with decisive influence and persons who acquired claims against the debtor from the aforementioned persons within the previous 2 years.
2) Debtor and creditors agree on supervisor's candidate during OCLPP.
On 1 July this year, amendments to the Civil Procedure Law came into force affecting the procedure for enforcing judgments by changing the procedure for real estate auctions from auctions with physical participation to auctions in an e-environment. In insolvency proceedings, sale of real estate by e-auction will be introduced on 1 January 2016.