The Polish parliament has extended the deadline for simplified restructuring provided for in Shield 4.0 to 30 November 2021.
Shield 4.0 reserves the possibility for debtors to make announcements about the opening of simplified restructuring until 30 June 2021.
The Polish Parliament has just passed a law amending the law on the National Debtors Register and certain other laws (print 1016), extending the deadline for debtors to make notices on the opening of simplified restructuring until 30 November 2021.
On 1 December 2021, provisions amending the Restructuring Law concerning, inter alia, proceedings for the approval of an arrangement are to enter into force. Pursuant to the amendment, the mechanisms of simplified restructuring proceedings will remain permanently in the Polish legal system and will become an element of the relevant proceedings for approval of an arrangement. After preparing an inventory of claims, an inventory of disputable claims and a preliminary restructuring plan, the supervisor of the arrangement will be able to make an announcement about the establishment of the arrangement day. As of the date of the announcement, the debtor will be protected against enforcement and against termination of contracts that are essential to the running of the company (lease, rent, credit, leasing, property insurance, guarantees, letters of credit, etc.). If within 4 months from the date of posting the announcement, the debtor fails to collect a sufficient number of votes in favour of the arrangement and does not file a motion for approval of the arrangement with the court, the effects of the announcement will expire by operation of law. The amendment also provides for strengthening the protection of creditors through institutional control over the course of proceedings exercised by a court supervisor.