Headlines 29/12/2020 09:48 SA

Supreme People’s Court provides guidelines on declaring an enterprise are insolvent

Thùy Liên

Recently, the Supreme People’s Court has issued the Official Dispatch No. 199/TANDTC-PC regarding the notification of online responses to certain issues related to bankruptcy proceedings.

According to this document, enterprises or cooperatives will be declared insolvent as per clause 1 of Article 4 in the Law on Bankruptcy if the following conditions exist:

- They owe particular and explicit debts:

+ admitted to or agreed upon by involved parties;

+ or testified by judgements or decisions legally entering into force of courts,  awards of commercial arbitrations;

+ or stated in decisions of competent regulatory authorities and parties and about which it is declared that no dispute exists.

- They owe debts due: These debts are those of which payment due dates are specified and enterprises or cooperatives as debtors are obliged to repay debts by these dates;

Payment due dates must be:

+ admitted to or agreed upon by involved parties;

+ or stated by judgements or decisions legally in effect of Courts, awards of commercial arbitrations or decisions of competent authorities.

- Enterprises or cooperatives as debtors fail to fulfill debt obligations during the 3-month duration starting from payment due dates, including 2 cases:

+ Enterprises or cooperatives as debtors do not have assets to repay debts;

+ Enterprises or cooperatives as debtors refuse to repay debts though they have their own assets.

For more details, please read the Official Dispatch No. 199/TANDTC-PC issued on December 18, 2020.

>> CLICK HERE TO READ THE ARTICLE IN VIETNAMESE

609

More headlines

Most Viewed

Address: 17 Nguyen Gia Thieu street, Ward Vo Thi Sau, District 3, Ho Chi Minh City, Vietnam.
Phone: (+84)28 3930 3279 (06 lines)
Email: info@ThuVienPhapLuat.vn

Copyright© 2019 by THƯ VIỆN PHÁP LUẬT
Editorial Director: Mr. Bui Tuong Vu

DMCA.com Protection Status