The Proposal is a formal agreement that the insolvent person presents to its creditors on how it intends to repay the amounts owing at the time of the initial filing of the NOI/Proposal. There are no restrictions on what the Proposal can include or its time limit. Proposal can include the settlement of the debts through a lump sum payment, payments over time or even the issuance of shares.
Most of the time, the company is still operating and is working on restructuring its operations in order to continue serving its clients and maintaining its relationship with its suppliers and creditors.
Sometimes it has wound down its operations but still wants to make a Proposal to its creditors that is more favorable than a bankruptcy.
If you have a specific entity that you need to inquire about, please click here to access our public files.
Each Proposal is different and terms can vary greatly.
If you have a specific entity that you need to inquire about, please click here to access our public files. The Trustees Report on the Proposal will indicate the estimated amounts to be paid, based on the records of the company.
In order to receive a Dividend, you need to fill out a Proof of Claim. You can click here to see how to fill it out.
Also, make sure you send along with you Proof of Claim, a Statement of Account and / or the invoice that remains unpaid. Any discrepancies between the Proof of Claim and the company's records are investigated by the company.
You must send your proof of claim by:
It could be for various reasons ranging from a simple data entry error or because your invoice was not processed on time.
In any case, please click here to access our public files and contact the appropriate person so they can add you to the distribution list and send you any relevant information.
For the Proposal to be binding on the creditors, a majority of the proven creditors by number (50% +1), holding 2 / 3 of the proven dollar value (66.67 %), must vote to approve the Proposal presented to them.
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