Our country is in the process of international integration; it is common for large enterprises to increasingly develop while small businesses suffer losses and are eliminated from the business market. To address these issues and create favorable conditions for small businesses to integrate during the current development process, the 2014 Bankruptcy Law has supplemented many new points beneficial to enterprises. Below are the new regulations in this law.
Article table of contents
* Extension of debt payment period for enterprises and cooperatives:
Enterprises and cooperatives unable to pay debts are those that fail to fulfill their debt payment obligations within 03 months from the due date. Previously, enterprises and cooperatives were considered unable to pay debts if they were unable to pay due debts (Article 4).
Unsecured creditors and partially secured creditors have the right to file a petition for bankruptcy procedures after 03 months from the due date without the enterprise or cooperative fulfilling the payment obligations. Previously, unsecured creditors and partially secured creditors had the right to file a petition for bankruptcy procedures when the debt payment was due, but the enterprise or cooperative was unable to pay.
Employees, grassroots trade unions, and superior trade unions where no grassroots trade union is established have the right to file a petition for bankruptcy procedures after 03 months from the date of wage payment obligations and other due debts to employees which the enterprise or cooperative fails to perform. Previously, when the wage payment was due, if the enterprise or cooperative recognized the inability to pay, the employee representative or trade union representative would file a petition for bankruptcy procedures (Article 5).
* False notifications must be compensated and responsibility for providing documents:
Individuals, agencies, and organizations issuing notifications must ensure the accuracy of the notifications. In cases where individuals, agencies, or organizations deliberately issue false notifications causing damage to enterprises or cooperatives, they must compensate for the damages and bear responsibility before the law. Previously, there was no such provision (Article 6).
The new law also clearly stipulates the responsibility of individuals, agencies, and organizations related to providing documents and evidence: Individuals, agencies, and organizations managing and retaining documents and evidence relevant to bankruptcy cases must fully and promptly provide documents and evidence related to the bankruptcy case within 15 days from the date of receiving the request from creditors, enterprises, cooperatives, the People's Court, the People's Procuracy, trustees, and asset management and liquidation enterprises. Individuals, agencies, and organizations unable to provide documents and evidence as stipulated above must respond in writing and specify the reasons, and if they intentionally do not provide documents and evidence without justifiable reasons, they will be handled according to the law (Article 7).
* Rights and obligations of insolvent enterprises and cooperatives:
Fulfill the requests of Judges, trustees, asset management, liquidation enterprises, and civil judgment enforcement agencies according to the law on bankruptcy. Provide documents and evidence related to the bankruptcy resolution. Request individuals, agencies, and organizations managing and retaining documents and evidence to provide documents and evidence related to their legitimate rights and interests to submit to the People's Court. Request Judges, trustees, and asset management, liquidation enterprises to verify, gather documents, and evidence they cannot obtain themselves or request appraisal, valuation, asset valuation; request Judges to order audits of insolvent enterprises, cooperatives; request Judges to summon witnesses. Know, record, and photocopy documents and evidence presented by other bankruptcy participants or collected by Judges. Request the application, modification, or cancellation of provisional urgent measures. Receive lawful notifications to exercise their rights and obligations. Self-defend or have others to protect their legitimate rights and interests. Participate in creditors' meetings. Request changes of trustees, asset management, liquidation enterprises as stipulated in this Law. Request trustees, asset management, liquidation enterprises to add creditors, debtors to the creditors' list, debtors' list. Propose to trustees, asset management, liquidation enterprises to recover money, assets from debtors. Be present upon the request of trustees, asset management, liquidation enterprises, summons of the People's Court, and comply with decisions of the People's Court during the bankruptcy process. Participate in assets management and liquidation as required by Judges, civil judgment enforcement agencies, trustees, and asset management, liquidation enterprises. Request reconsideration of the People's Court's decisions as stipulated in this Law. In case the individual participating in the bankruptcy procedure dies, their legitimate heirs will execute these rights and obligations. Provide opinions on accepting or rejecting part or all of the petition for opening bankruptcy procedures. Must publicly announce the decision to open bankruptcy procedures immediately after receiving the decision to open bankruptcy procedures.
Previously, there were no specific provisions on the rights and obligations of insolvent enterprises, cooperatives (Article 20).
(To be continued)
Source: Binh Phuoc Online
