Fiset et Associés Syndic Inc. brings together specialists who can help you in case of commercial bankruptcy in Quebec City.
Bankruptcy and Insolvency Act
Who is Eligible for a Commercial Bankruptcy?
Bankruptcy is a legal process that allows an insolvent company to permanently close operations through a Licensed Insolvency Trustee who ensures the proper management of the bankruptcy and the distribution of the funds in accordance with the provisions of the Bankruptcy and Insolvency Act (BIA). All the property of the insolvent company is vested in the Licensed Insolvency Trustee who liquidates it for the benefit of the creditors. In general, commercial bankruptcy is used to definitively close unprofitable companies, inoperative companies and those with little or no expectation of profitability in the short, medium or long term.
Who is Authorized to Act as Bankruptcy Administrator?
A Licensed Insolvency Trustee.
What Are the Ways One Can Go Bankrupt?
Voluntary Sale of Goods
The insolvent company voluntarily makes an assignment of its property to an Insolvency Trustee by filing a sworn statement of assets and liabilities which is filed with the Office of the Superintendent of Bankruptcy (OSB).
The Court, following an application filed by a creditor, may declare an insolvent company bankrupt.
How Long Does Commercial Bankruptcy Last?
The duration of a commercial bankruptcy is variable. The BIA does not impose a maximum period of time to finalize the management of a commercial bankruptcy. However, the Licensed Insolvency Trustee must diligently manage the records according to the particular circumstances of each case.
What Kind of Circumstances Lead to the Filing of a Commercial Bankruptcy?
Advantages: Commercial Bankruptcy