– Restoring the bituminous coal mining industry will be one of the main challenges facing the Polish government in the coming years. Many experts believe that its condition is now the worst since 1989 – point out Maciej Stańczuk, Vicepresident of Employers of Poland, and Bartosz Piechota, partner at Röhrenschef.
In their opinion a chance to effectively conduct this process is presented by regulations to come into force on January 1st 2016. They also remind that the main objective of passing the Restructuring Law was to introduce efficient mechanisms for restructuring the debtor company and prevent its liquidation.
– Thus far, the lack of such regulations – which would protect the creditors’ interests while at the same time giving debtors a chance to continue their business activity and provide them with effective restructuring tools – was a great pitfall of the Polish legal system. As a result, in contrast to trends in well-developed countries, over 90 percent of bankruptcy procedures have ended with the company being liquidated and the creditors’ demands being satisfied only to a negligible degree – the authors assess.
– The restructuring law introduces four restructuring procedures which can be adapter to the current needs of the debtors and creditors involved – in place of the completely ineffective restoration procedure and the seldom used arrangement bankruptcy – add Stańczuk and Piechota.