Advantages of the Merchant Requesting the Declaration of Commercial Contest

DID YOU KNOW THAT, THERE ARE ADVANTAGES IF THE MERCHANT HIMSELF REQUESTS THE DECLARATION OF A COMMERCIAL CONTEST?

A commercial agreement is a public interest procedure in which the intention is to prevent a trader in a state of insolvency from fully breaching his obligations and causing greater damage to his creditors.

In this regard, the trader himself, when he considers that he has committed a generalized breach of his obligations towards two or more creditors, may request the declaration of agreement, In order to do so, he must submit his brief to the competent judge, accompanied by all the requirements laid down by the bankruptcy law.

However, some of the advantages that the merchant has in attending the Commercial Competition are the following:

1. You may file your application with commencement at the conciliation or bankruptcy stage; that is, it would not be necessary to exhaust the verification visit or pay the visitor’s fees.
2. The application may be submitted without special reference to any stage at which the competition must be declared.
3. It is feasible for the trader to submit with his application a proposal for a preliminary payment agreement to his creditors.
4. With the decision to declare commercial contests, interest is no longer generated on claims that have expired.

Under these circumstances, a commercial agreement may be a means or strategy for the trader, with the support of his lawyers and the court, to be helped to reconcile with his creditors and thus be in a position not to lose his entire business.

Therefore, if your company has been affected by the contingency and you find yourself in a situation similar to the one described in the present, Come with us so that the lawyers of Bandala | Díaz | García study the particular circumstances and create the best strategy according to your needs.