KEY FACTS OF BANKRUPTCY, INSOLVENCY & REHABILITATION PROCEEDINGS UNDER ROMANIAN LAW -

1. A brief presentation of the bankruptcy/insolvency/rehabilitation proceedings of the country and their main differences.

Romanian legislation provides two main categories of such procedures:

I. Insolvency prevention procedures -

I. 1. Ad-hoc mandate -

If the debtor faces financial difficulties, it can request the court to open the ad-hoc mandate procedure. The purpose of such procedure is for the debtor and its creditor(s) to reach an agreement, by reducing the debt or rescheduling due debts. Also, other measures may be decided, such as terminating certain agreements, reducing personnel, etc.