The Abu Dhabi Judicial Department\nmanaged to help a company out of bankruptcy, after the success of the\nrestructuring process that it underwent before the Bankruptcy Division of the\nAbu Dhabi Commercial Court, in accordance with the effective legal procedures\nprovided by Federal Decree-Law No. 9 of 2016 regarding bankruptcy and its\namendments, with the aim of addressing the conditions of companies and the\nprotection of creditors\u2019 funds, in a manner that enhances the protection of the\neconomic activity and investment climate of the state.<\/p>\n\n\n\n
This is the second incident of its\nkind at the regional level, which are being considered by the competent courts\nin Abu Dhabi, where a creditor submitted an application to commence bankruptcy\ndeclaration procedures in accordance with the provisions of Chapter Four of the\nBankruptcy Law, as a result of the failure of a limited liability company\nspecialized in the field of general contracting to pay its debts following a\nfinancial distress. <\/strong><\/p>\n\n\n\n During the course of the procedures,\na group of other creditors submitted their debt claims, with a total value of\n76,104221 dirhams, and a draft restructuring plan was prepared, which was voted\nin by 71.54% of the creditors, with a debt value of 71.89% of the total debt,\nin order for the debtor company, with the assistance of a specialized expert\nand under the supervision of the Abu Dhabi Commercial Court, could pay the\ndebts and disburse a surplus amount to the company estimated at 5 million and\n400,000 dirhams, while maintaining its in-kind assets with an estimated value\nof about 15 million and 168 thousand dirhams.<\/p>\n\n\n\n Restructuring is the most effective\nmeans provided by Federal Decree-Law No. 9 of 2016 regarding bankruptcy and its\namendments, as it provides a forum for dialogue between the debtor and the\ngroup of creditors, with the assistance of an expert and under the supervision\nof the competent court, to discuss ways to confront challenges, according to\ndynamic, organized and interactive techniques aimed at directing the dialogue\nin the direction of Constructive contributes to finding the optimal collective\nsolution for the payment of obligations in a manner that achieves the common\ninterests of all parties.<\/p>\n\n\n\n It should be noted that the\nrestructuring procedures begin with limiting the claims to the debtor,\ndetermining his financial position, and studying the reasons for his failure to\npay his debts, followed with the debtor and the competent expert preparing the\ndraft restructuring plan, which is presented to the court for review, and in\nthe event of approval, it is presented to all creditors for a vote. The\nrestructuring plan is not imposed on the creditors unless the majority of them\nagree in terms of their number and the value of their debts.<\/p>\n","protected":false},"excerpt":{"rendered":" The Abu Dhabi Judicial Department managed to help a company out of bankruptcy, after the success of the restructuring process that it underwent before the Bankruptcy Division of the Abu Dhabi Commercial Court, in accordance with the effective legal procedures provided by Federal Decree-Law No. 9 of 2016 regarding bankruptcy and its amendments, with the …<\/p>\n","protected":false},"author":2,"featured_media":46649,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-48420","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-news"],"_links":{"self":[{"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/posts\/48420","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/comments?post=48420"}],"version-history":[{"count":1,"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/posts\/48420\/revisions"}],"predecessor-version":[{"id":48421,"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/posts\/48420\/revisions\/48421"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/media\/46649"}],"wp:attachment":[{"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/media?parent=48420"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/categories?post=48420"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.uaebarq.ae\/en\/wp-json\/wp\/v2\/tags?post=48420"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}