Advising creditors
We assist creditors in the event of an economic crisis affecting their contractual partner. We reliably protect your rights. We preserve your values.
Overview
From small mid-sized companies (mittelständische Unternehmen) to leading international corporations, Dr. Knapp regularly advises creditors in the event of an economic crisis affecting their contractual partner. Our many years of experience enable us to ensure the protection of your rights in an efficient and target-oriented manner.
Our range of advisory services for creditors includes, in particular:
- Minimising risk through appropriate contract arrangements before a crisis occurs
- Immediate measures after a crisis occurs and after filing for insolvency to protect your rights and minimise potential bad debt
- Enforcement of security interests
- Continuation agreements (Fortführungsvereinbarungen)
- Structuring of so-called (unechte) Massedarlehen
- Filing of claims
- Examination of and protection against insolvency avoidance claims (Insolvenzanfechtungsansprüche)
- Attendance at creditors’ meetings
- Representation on a creditors’ committee
Contact us for a no-obligation initial consultation
Contact UsFurther Information
Even before a crisis occurs, it is essential to take into consideration the potential insolvency of a contractual partner, and thus the risk of significant bad debt, when drafting contracts. In particular, appropriate settlement mechanisms, security interests, and so-called termination clauses should be agreed upon.
If there are increasing signs of crisis at a contractual partner, options for reducing the risk of default and the risk of insolvency avoidance claims should be evaluated and implemented immediately. Payment during a corporate crisis can be reclaimed by an insolvency administrator in accordance with the legal requirements regarding insolvency avoidance claims.
Once an insolvency filing has been made, first of all, your rights must be fully asserted.
In addition, termination of the contract should be considered. However, insofar as the contractual relationship should be continued, it is advisable to conclude a so-called continuation agreement, which can establish mechanisms to comprehensively safeguard your legal position.
Under certain circumstances, it may be worth considering the legal granting of a so-called (unechtes) Massedarlehen, on the basis of which the debtor’s continued operations can be (co-)financed through the provision of collateral (such as receivables or inventory).
Your insolvency claims must be properly filed to the insolvency table after the insolvency proceedings have been opened.
Creditors also have the opportunity to participate in creditors’ meetings, where they are informed about the progress of the insolvency proceedings and key procedural decisions are made.
In addition, in more complex insolvency proceedings, an active role can be taken in the insolvency process by participating as a member of a creditors’ committee, which represents the interests of the creditors by monitoring the insolvency proceedings or self-administration and by making procedural decisions.
Should an insolvency administrator assert claims under insolvency avoidance claims, a detailed review and, if necessary, a legal defense are recommended, given the numerous unjustified claims that are often asserted.
We provide targeted support to creditors in protecting their rights during insolvency proceedings relating to the assets of their contractual partner. Contact us here for a no-obligation initial consultation.