Insolvency plan

The German Insolvency Code offers companies the possibility of reorganising during the insolvency plan proceedings as stated in §§ 217 et seqq. of the Insolvency Code (InsO).

It is just about always the case that insolvency proceedings in self-administration have the objective of realizing an insolvency plan, which enables insolvency proceedings to deviate from the relatively rigid provisions of the statutory standard procedure, providing no creditor to be placed in a worse position as a result. Under such an insolvency plan a company can often remain intact and partially retain its ownership structure.

In the insolvency plan there is a detailed description of which economic and legal measures are to be taken in order to achieve a reorganization of the company. In addition, there is a legal obligation to realise the measures outlined in the insolvency plan after it has been approved by the  Insolvency Court. 

Developing such an insolvency plan as well as the entire support needed for the court proceedings are interdisciplinary tasks requiring both in-depth knowledge of business and of the law and having related practical experience with such cases.

Our lawyers and business economists experienced in insolvency law work “hand-in-hand” in preparing such insolvency plans.

Generally the preparation of an insolvency plan is done under enormous time pressure (§ 270d InsO states a three-month deadline). Engaging such a well-coordinated team of lawyers and business economists ensures that the insolvency plan will be presented to the Insolvency Court in due time.

Our experts can support you during the entire reorganisation process. Through our network of law firms specialised in insolvency law we can offer solutions tailored to a company of any size and for a wide variety of circumstances requiring reorganisation.