INTRODUCTION

LEGISLATION

• – Law of 28 February 2003 on Bankruptcy (BL) (Prawo upadłościowe) (originally “Law on Bankruptcy and Rehabilitation” (Prawo upadłościowe i naprawcze), title changed with effect from 1 January 2016).

• – Law of 15 May 2015 on Restructuring (RL) (Prawo restrukturyzacyjne), in force since 1 January 2016.

PROCEEDINGS

• 1. Bankruptcy proceedings (postępowanie upadłościowe) (provided for by the BL, applicable only in case of actual insolvency) – usually involving winding up of the debtor’s assets but conclusion of an arrangement allowed if possible.

• Specific form of bankruptcy proceedings applicable to natural persons – non-entrepreneurs: consumer bankruptcy (so called “upadłośćkonsumencka ”;) (Art. 491 – 491 BL).

• 2. Four restructuring proceedings (postępowania restrukturyzacyjne) (provided for by the RL, applicable both in case of actual insolvency and threat of insolvency):

• – arrangement approval proceedings (postępowanie o zatwierdzenieukładu) (Art. 210 – 226 RL) – approval of an out-of-court arrangement by a subsequent court decision;

• – fast arrangement proceedings (p rzyspieszone postępowanie układowe) (Art. 227 – 264 RL) – conclusion of an arrangement within traditional proceedings (including the opening, course and closure), applicable if the amount of contentious claims does not exceed 15 per cent of the total amount of claims. Debtor-in-possession under supervision of a court supervisor;

• – arrangement proceedings (postępowanie układowe) (Art. 265 – 282 RL) – conclusion of an arrangement within traditional proceedings (including the opening, course and closure), applicable if the amount of contentious claims exceeds 15 per cent of the total amount of claims. Debtor-inpossession under supervision of a court supervisor;

• – reorganisation proceedings (postępowanie sanacyjne) (Art. 283 – 323 RL) – comprehensive restructuring of the debtor’s enterprise by a professional administrator, including (in principle) divestment of the debtor. Conclusion of an arrangement.

• 3. simplified arrangement approval proceedings (uproszczone postępowanie o zatwierdzenie uk ł adu), introduced with temporary effect from 24 June 2020 until 30 November 2021 by one of the laws introducing extraordinary measures to mitigate the economic impact of the Covid-19 pandemic (Art. 15 – 25 of the Law of 19 June 2020 on subsidies to interest on bank loans to entrepreneur affected by Covid-19 and on simplified arrangement approval proceedings related to Covid-19).