[BANKRUPTCY, INSOLVENCY & REHABILITATION PROCEEDINGS IN THE NETHERLANDS] 68
by a class if 2/3 rd -majority of the number of claims or issued capital of the actual voters have voted in favor of the plan. No dissenting creditor may receive less value than they would have in a bankruptcy situation (best interest of creditors test). The court can be asked for confirmation of the plan if at least one in-the-money class has voted in favor of the plan. Dissenting classes can be bound (cross class cram down) unless (i) the plan is in breach of the absolute priority rule, (ii) creditors that are small or medium enterprise are not offered an amount in cash that equals 20% of their claim and (iii) the plan lacks a cash exit-possibility for creditors (professional lender excluded). The voting can take place within a period of eight days and electronic voting is allowed. The restructuring plan becomes binding, after confirmation by the court. A confirmation decision by the court takes place within eight to fourteen days after acceptance of the plan and the confirmation cannot be appealed. In theory, the procedure could be completed within a period of three to five weeks. In its short existence, The WHOA already has proved to be a quick, flexible and (therefore) very effective tool for reorganization of debts and costs.
ILN Restructuring & Insolvency Group – Bankruptcy, Insolvency & Rehabilitation Series
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