The COVID-19 pandemic is an unprecedented world health crisis which has undoubtedly caused significant disruption to the growth, function and stability of the global economy. As a result, many corporations have experienced and will continue to experience a significant reduction in their commercial activity in the near term.
When your business first begins to have financial difficulties, you should take action quickly to increase its stability. You have options such as refinancing and consolidating, or you can look to insolvency or liquidation proceedings.
First, assess your business's true financial situation. You may need to review the bookkeeping or talk to an accountant about your profits, losses, and debts. Be realistic about how much you can improve the finances and in how long of a time period. If you are already having trouble paying the bills, then you need to act fast.
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.
Right to carry out profit-making activities without limitation
Under the regime provided for by the Belgian law of 27 June 1921 (the Law of 1921), INPAs are prohibited from carrying out industrial or commercial operations unless the latter remain ancillary to their non-profit activities.
Certain governments have taken (extensive) measures to help businesses and its employees. This leads to an entire new and unprecedented market situation and results in sometimes unprecedented legal issues which require swift but thorough assessment, both from a national and cross-border perspective. To provide companies and its directors with some general guidelines in these times of uncertainty, our international Restructuring and Insolvency team has prepared an overview of certain pressing legal issues.
La loi du 15 avril 2018 portant réforme du droit des entreprises bouleverse indéniablement la législation économique en Belgique. Désormais, la réglementation propre aux entreprises est refondue et englobe les associations (internationales) sans but lucratif (AS(I)BL) et les fondations notamment sous l’égide du Code de Droit Economique (CDE). Toutes les A(I)SBL sont maintenant pleinement considérées comme des entreprises. Mais quelles en sont les conséquences pratiques ?
Le concept d’entreprise redéfini
In an insolvency situation, the fate of ongoing contracts is something to be discussed. Such contracts are often closely linked to the essence of a company's business. For example, for (commercial) leases, the lessor's bankruptcy or the tenant's judicial reorganisation will probably result in discussions about the agreement, its (forced) execution and rental payment.
Onze recente blogartikels behandelden reeds verschillende onderwerpen omtrent de recente wetswijzigingen voor vennootschappen. Op 1 mei 2019 treden echter ook aangepaste regels in werking voor verenigingen. De VZW-wetgeving in de wet van 1921 op de verenigingen en stichtingen wordt immers mee opgenomen in het Wetboek van Vennootschappen en Verenigingen (hierna: “WVV”). Naast deze codificatie werden ook enkele wijzigingen doorgevoerd.
In het kader van de hervorming van het insolventierecht die op 1 mei 2018 van kracht is geworden, heeft de wetgever een aantal belangrijke wijzigingen doorgevoerd inzake de aansprakelijkheid van bestuurders bij een faillissement. De herziene aansprakelijkheidsregels gelden voor bestuurders van vennootschappen en niet voor natuurlijke personen die ondernemingen zijn maar geen vennootschapsstructuur hebben.
1. Aansprakelijkheidsvordering wegens kennelijk grove fout
Sellers and suppliers of movable assets can deal with problems caused by poorly-paying customers through a retention of title clause. This clause makes it contractually possible to stipulate that ownership of a certain good does not transfer until the third party acquirer has paid the full price.
It is interesting to note that the new Law on Pledges has created a better legal framework for the retention of title clause, putting any creditor - assuming a retention of title clause has been included - in a stronger position.