Our team has represented one of the leading infrastructure companies in the commercial litigation dispute with its creditor.
During the examination of the case, for the first time in Lithuanian court history, questions were raised regarding the restructuring law and the purpose of the prohibition to acknowledge homogenous duties of the interconnection between the parties, as well as the right of the creditor to demand the fulfillment of the liability from the company undergoing restructuring before the restructuring plan is confirmed.
We argued that the prohibition is set for the benefit of the company undertaking restructuring. It aims to forbid the creditors from avoidance of the liabilities for the company, however, it should not be applied for the company in the restructuring process itself. The liabilities, on the other hand, should not be fulfilled until the restructuring plan is confirmed.