Dutch bankruptcy does not currently offer an adequate way to restructure debt-ridden but operationally profitable companies. In the UK and the US, the option of a scheme of arrangement or Chapter 11 has allowed such restructuring for quite some time. Our neighbouring countries have also amended their legislation in recent years to facilitate debt restructuring outside bankruptcy. But Dutch legislation is lagging behind on this issue despite calls for a change to the law.
In view of this, De Brauw lawyers Reinout Vriesendorp, Ruud Hermans and Klaas de Vries have taken the initiative to come up with a draft for a bill that would enable legal entities in the Netherlands to restructure their debts outside bankruptcy or suspension of payments.
An article on this subject by Reinout Vriesendorp, Ruud Hermans and Klaas de Vries has been published in ‘Tijdschrift voor Insolventierecht’.
- Click here to read the article. Source: Tijdschrift voor Insolventierecht, no. 2013 / 12
- Click here to read the draft for a bill.
The article and the draft are available in Dutch only.