Home
Global
Contact
The Restructuring Law introduces a number of instruments to liquidate a company effectively or to transform an indebted enterprise so as to prevent its bankruptcy. The knowledge of bankruptcy law enables finding an efficient solution to deal with the financial distress situation in a way that is safe to both the debtor and the creditor.
The Restructuring Law introduces mechanisms for restructuring a debtor's business and avoiding its bankruptcy and liquidation. Maintaining the debtor's business is often much better for creditors than its liquidation. It also lets people keep their jobs and allows undisturbed performance of contracts thus benefiting the economy and society.
In this section you will find up-to-date information on bankruptcy proceedings and enterprise restructuring in and outside the European Union.
The COVID-19 pandemic and its negative economic effects have forced enterprises to take steps to find their feet in the new economic situation and maintain their position in the market.
The Civil Code says that if an enterprise declares bankruptcy, the commercial power of attorney (prokura) expires.
A business activity depends, among other things, on financial liquidity. An enterprise cannot continue its operations if any enforcement is pending against it.
A consumer bankruptcy petition will be effective if the requirements set out in the Insolvency Act are met.
Polish bankruptcy law obliges the debtor to file a petition for bankruptcy within 30 days of the day on which the grounds for declaring bankruptcy arose.
Discrepancies between national bankruptcy laws of different countries encouraged the EU to unify its insolvency laws.
On January 1., 2016, the new act of May 15., 2015 - Restructuring Law, came into force. It contains changes to the currently effective Bankruptcy and Composition Law.
Jarosław Hein
Attorney at law (Poland), Tax adviser (Poland)
Partner
Send inquiry
Profile
