The decision is not made by the insolvency practitioner or even the bankruptcy judge (Juge Commissaire).
Three categories of sanctions may be imposed…
In the case of collective proceedings, creditors are distinguished according to the lien they hold, followed by creditors whose claims do not carry a lien, known as unsecured creditors.
This involves the purchase of an isolated asset, rather than a company as a whole, as part of a judicial liquidation.
In the case of a previous claim, you must notify the insolvency practitioner/liquidator…
This involves buying a business that is still in operation.
Safeguard and receivership: : The judgement pronouncing the safeguard or receivership opens an observation period.
Judgements initiating collective proceedings must be published:
The list of verified claims is filed with the court registry by the liquidator.
The purpose of receivership is to save the business by adopting a plan (recovery plan by way of continuation or sale plan).
Information on the progress of the proceedings can be obtained from the professionals appointed by the Court.
Unsecured creditors do not have any special liens; they are paid after all the debtor’s preferential creditors. Unsecured creditors differ from preferential creditors in that they have no guarantee of payment of the debt.
In the case of receivership or safeguard proceedings, an observation period of 6 months begins as soon as the decision to initiate the proceedings is handed down. This period may be extended by court decision up to a maximum of 18 months…
Several legal provisions stipulate that company managers must be heard or duly summoned before the court or the bankruptcy judge at the main stages of the proceedings (fate of the company, transfer of assets, verification of liabilities, etc.).
The undertakings of a buyer under a sale plan are, firstly, the undertakings that any buyer acquiring a company not subject to proceedings would make, particularly as regards undertakings relating to contracts taken over (employment contracts, leases, etc.).
Within 15 days of the opening of the collective proceedings, the insolvency practitioner notifies known creditors and advises them to declare their claims.
For any previous claims that arose before the proceedings…
Under the provisions of article L.631-2 of the French Commercial Code…
Since 2005, any interested party may submit an offer, either to take over a business or to acquire certain assets of the debtor.
As soon as the proceedings have been initiated, debtors must provide the insolvency practitioner with a list of their creditors, the amount of their debts and the main contracts in progress.
Article 206 of the Law of 6 August 2015, known as the Macron Law, amended the wording of Article L526-1 of the French Commercial Code as follows…
The statement of claim is a procedural document and must be signed by a person with specific authority to represent your company for the purposes of this formality.
A judgment opening collective proceedings is automatically enforceable on a provisional basis.
There is no cost involved in filing an application to initiate collective proceedings with the court, apart from the relatively minor cost of the documents that need to be attached to the application.
Safeguard proceedings may only be initiated at the request of the legal representative of the legal entity or the debtor (natural person).
An application to initiate receivership proceedings must be filed by the legal representative of the legal entity or by the debtor…
The manager of a company that is experiencing temporary difficulties but has not been insolvent for more than 45 days…
What happens to employees depends on the procedure under way.
Representation by a lawyer is not compulsory in collective proceedings…
This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.
Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings.
This website uses Matomo to collect anonymous information such as the number of visitors to the site, and the most popular pages.
Keeping this cookie enabled helps us improve our website.
