Reorganization under the Insolvency Act and the recent practice

Reorganization under Insolvency Act and Current Practice Abstract: Key objective of an effective insolvency law is to facilitate the rescue of a debtor or, failing that, a financially troubled business. The new Insolvency Act, no. 182/2006 Col. ("InsA"), established reorganization as new proceedings to comply with such objective. This master thesis focuses on reorganization under the new InsA, its process and key provisions and matters relevant to reorganization proceedings and then analyses current practice with such new proceedings. The purpose and key objectives of the insolvency law are discussed in Chapter 2 and parties and participants to the reorganization and their interest and incentives which must be addressed in an effective reorganization law are described in Chapter 3. Commencement of unitary insolvency proceedings under the InsA, its effects and the following procedure and matters, declaration of bankruptcy and the process of the choice between reorganization and bankruptcy (konkurs) is described in Chapter 4. The rescue culture and other rehabilitation (non-liquidating) procedures, the option of rehabilitation of financially troubled business in bankruptcy (konkurs) under InsA and the brief description of reorganization procedure under US Chapter 11 is discussed in Chapter 5. Chapters 6 and 7..