14.01.2021Numa Rengot

New government measures to promote debtor-creditor negotiations – Caractère magazine, December 2020

By emergency rulings dated October 26, 2020, Paris’ first-level Civil Court declined to compel two companies to make commercial lease payments for Q2 2020. These rulings came amidst new challenges and uncertainties threatening already vulnerable French businesses, some of which have been facing looming bankruptcy as a result of France’s second lockdown.

In this context, and until December 31, 2020, the government’s “Covid” decrees of March 23 and May 20, 2020, have increased debtors’ legal leverage, including by easing access to the “conciliation” process (which enables them to negotiate a debt settlement agreement with their creditors to avoid bankruptcy).

Click HERE to read the column by our Restructuring partner Numa Rengot, published in Caractère magazine’s December 2020 issue (editor: Guillaume Prudent).