Comparative law notes
for debt relief and an extension of the due date
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arrangement with creditors means:
full
noun
for debt relief and an extension of the due date
a debtor's agreement with creditors to settle debts or extend the time for payment. An arrangement with creditors is the part of an insolvency plan.
The company is technically insolvent, and unless it enters into an arrangement with creditors, is likely to go into liquidation (=close and sell its assets).