Fiset et Associés Syndic inc (Syndic Autorisé en Insolvabilité-SAI)

Licensed Insolvency Trustee

 phone :  418-781-2120

A New Start in Quebec city

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?

  • Corporations – insolvent companies
  • Partnerships (SENC)
  • Liquidators of the property of an insolvent person e.g., successions

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).

Bankruptcy Petition
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?

  • A finding that the company is insolvent, i.e., unable to meet its obligations coming due and lack of liquidity.
  • Lack of profitability or low expectation of profitability in the short, medium and long term.
  • Operations can no longer continue due to lack of will or ill health on the part of the directors.
  • The realizable value of the company assets is less than its liabilities.
  • Inadequate financing jeopardizing the future operations of the company.
  • Late filing and payment of tax returns (DAS-TPS-TVQ-taxes) and seizure of bank accounts and accounts receivable by tax authorities.
  • Notice of the exercise of a mortgage remedy by your secured creditor including a 10-day notice provided under section 244 of the Bankruptcy and Insolvency Act.
  • Court proceedings and/or seizures by creditors.
  • Losses due to bad debts.
  • Problems with production or starting up a new production system that has led to financial losses.
  • Large customer losses and/or decreased turnover.
  • Problems controlling operating costs.
  • Negative events beyond the control of the insolvent person.
  • Investments that have not yielded the expected results.
  • Illness striking managers or key personnel.

Advantages: Commercial Bankruptcy

  • The liquidation and closure of the insolvent company is done by an authorized Insolvency Trustee in accordance with existing legislation.
  • Legal remedies by unsecured creditors are legally suspended, preventing seizures and other recovery actions by creditors.
  • The creditors' rights and payment order are set by the BIA and respected by the Insolvency Trustee.
  • The property of the insolvent company is vested in the Licensed Insolvency Trustee who assures its liquidation and holds the proceeds in trust accounts for the benefit of the creditors.
  • Business contracts are terminated.
  • Commercial leases are terminated.
  • Decisions are approved by the inspectors appointed at the meeting of creditors.
  • The Court issues a judgment discharging the trustee at the end of the bankruptcy administration.

Bills Piling Up?

Call our insolvency professionals today.

Fiset et Associés Syndic inc (Syndic Autorisé en Insolvabilité-SAI)  

455 Grande Allée Est, OFFICE 100

QuEbec, QC G1R 2J5

418-781-2120


EMAIL

F.BONHOMME@NOTARIUS.NET

BUSINESS HOURS

Monday - Friday 08:30 AM - 05:00 PM

Emergency appointments available

SERVICE AREA

  • Quebec
  • Montréal
  • Laval
  • Bas-du-fleuve
  • Gaspésie
  • Chaudière-Appalaches
  • Centre-du-Québec
  • Beauce


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