Procedures for suspension of payment

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If a business, a foundation or an association has temporary financial problems, the organisation can delay paying its debts. This is called suspension of payment. If you want to stop your organisation from going bankrupt, you can ask a judge for a suspension of payment. This is a civil law procedure and you must have a lawyer for this procedure.

Applying for suspension of payment

If your organisation (business, foundation or association) has temporary problems with payment, and you do not want to go bankrupt, you can apply for a suspension of payment. This option is mainly used by organisations that are legal entities. You must have a lawyer for this procedure.


Asking to withdraw the suspension of payment

The administrator, or one or more creditors, can ask the judge to withdraw the suspension of payment. They can do this for various reasons, for example if they think that the debtor is bankrupt, not following the rules or treating creditors unfairly. The debtor can respond to this request for withdrawal.


Ending suspension of payment

An organisation’s (business, foundation or association) suspension of payment can end:

  • when the administrator or one or more creditors asks to withdraw the suspension of payment. If the judge grants the request, this usually means that the debtor goes bankrupt.
  • when the debtor asks to withdraw the request because the organisation is now able to start paying again. The administrator can help with this.
  • when an agreement is finalised with the creditors, saying that the debtor’s organisation only has to pay part of the debt.
  • if the period of the suspension of payment ends and there is no agreement with the creditors. Creditors can then demand that the debtor pays the remaining debts.


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