Who has the eligibility and liability to submit written requests for initiation of bankruptcy process in Vietnam?

Who has the eligibility and liability to submit written requests for initiation of bankruptcy process in Vietnam? (Internet image)

1. Who has the eligibility and liability to submit written requests for initiation of bankruptcy process in Vietnam?

Eligibility and liability to submit written requests for initiation of bankruptcy process include:

- Any creditor of unsecured debts or partly-secured debts is entitled to send a written request for initiation of bankruptcy process after 03 months from the payment due date for the debts which the enterprise or cooperative does not pay..

- Any employee, internal Trade Union (or the superior Trade Union if the internal Trade Union is not established) is entitled to send a written request for initiation of bankruptcy process after 03 months from the day on which the entity have to pay salaries and other debts to the employees.

- The legal representative of each enterprise or cooperative is liable to send a written request for initiation of bankruptcy process when the entity is insolvent.

- The owner of any private enterprise, the President of the Board of Directors of any joint-stock company, President of the Member assembly of any multi-member limited liability company, the owner of any single limited liability company or any general partner of any partnership is liability to submit a written request for initiation of bankruptcy process when the entity is insolvent.

- Any shareholder or any group of shareholders owning at least 20% of ordinary shares for at least 06 consecutive months is entitled to file a written request for initiation of bankruptcy process when the joint-stock company is insolvent.

Any shareholder or any group of shareholders owning less than 20% of ordinary shares for at least 06 consecutive months is entitled to file a written request for initiation of bankruptcy process when the joint-stock company is insolvent if it is mentioned in the company’s charter.

- Any member of any cooperative or any legal representative of any cooperative which is a member of the cooperative union is entitled to file a written request for initiation of bankruptcy process when the entity is insolvent.

(Article 5 of the Law on Bankruptcy 2014)

2. Contents included in requests of debtors for initiation of bankruptcy process in Vietnam

2.1. Contents included in requests of debtors for initiation of bankruptcy process in Vietnam

A request for initiation of bankruptcy process must contain:

- Date

- Name of the People’s Court in charge of bankruptcy settlement;

- Name and address of the requester;

- Name and address of the enterprise or the cooperative forced to file for bankruptcy;

- The due debts

Proof of due debts must be enclosed herewith .

When advising on the selection of asset management officers and/or asset management enterprises, the request must contain the name and address of the asset management officers and/or asset management enterprises.

(Article 26 of the Law on Bankruptcy 2014)

2.2. Contents included in requests for initiation of bankruptcy process of employees or representatives of Trade Unions in Vietnam

A request for initiation of bankruptcy process must contain:

- Date

- Name of the People’s Court in charge of bankruptcy settlement;

- Name and address of the petitioner;

- Name and address of the enterprise or the cooperative forced to file for bankruptcy;

- Total amount of outstanding salaries and other debts which are due

Proof of employees' salaries and other due debts must be enclosed herewith.

In case of appointment of asset management officers and/or asset management enterprises, the request must contain the name and address of the asset management officers and/or asset management enterprises.

(Article 27 of the Law on Bankruptcy 2014)

2.3. Contents included in request for initiation of bankruptcy process of insolvent entities in Vietnam

A request for initiation of bankruptcy process must contain:

- Date

- Name of the People’s Court in charge of bankruptcy settlement;

- Name of the insolvent entity

- Name and address of the requester;

- The basis for requesting initiation of bankruptcy process

In case of appointment of asset management officers and/or asset management enterprises, the request must contain the name and address of the asset management officers and/or asset management enterprises.

(Article 28 of the Law on Bankruptcy 2014)

2.4. Contents included in requests for initiation of bankruptcy process of shareholders of groups of shareholders of joint-stock companies, members of cooperative or cooperative members of cooperative unions in Vietnam

A request for initiation of bankruptcy process must contain:

- Date

- Name of the People’s Court in charge of bankruptcy settlement;

- Name of the insolvent entity

- Name and address of the requester;

- The basis for requesting initiation of bankruptcy process

(Article 29 of the Law on Bankruptcy 2014)

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