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.

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;

In view of the forthcoming Christmas and New Year, we hope that you have been successful in your endeavours and now are happily proceeding to completion of your ongoing projects. As usual, the year-end bustle is speeding up, and Belarus is no exception. In this regard, we are glad to share with you the overview below of the most recent legal and business news.

The Law On Insolvency (Bankruptcy) of 13 July 2012 comes into force on 25 January 2013. The law is not introducing bankruptcy of individuals despite many voices raised in favor of this concept so far unknown to the Belarusian legal system. However, other important novelties may be summarised as follows:

On 16 April 2014 the Estonian Parliament adopted amendments to the bankruptcy and reorganisation laws. The law has now been published in Riigi Teataja (the official journal) and will enter into force on 19 May 2014.

On 6 January 2017, another package of large-scale amendments to the Insolvency Law came partly into force. The main part of the amendments to the Insolvency Law comes into force on 1 July 2017 and thereafter.

The main law governing insolvency issues in Latvia is the Insolvency Law (Maksātnespējas likums)

The types of proceedings available are as follows:

We have recently prepared a study on court practice in Latvia in board liability cases. A short summary of our main findings appears below.

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.

Major amendments have been introduced to the Insolvency Law. Although initially the plan was that  these  would  enter  into  force  on 1 January next year, currently a draft law is before the Parliament to postpone the effective date to 1 March 2015. This newsflash deals with the main innovations.

Obligation to file for insolvency