File liquidation extension

The majority should represent at least two-thirds of the total debt value. In case the court nullifies the Prevention Composition Plan or restructuring procedure or terminates them, the court proceeds with a formal bankruptcy process. The debtor and creditor can apply directly for bankruptcy proceedings. The court appoints the bankruptcy trustee to supervise the procedure.

During the procedure, all scheduled disbursals or debts will become immediately due. The appointed trustee has the power to terminate any contract to facilitate the liquidation process. Unlike the prevention composition and restructuring, the law does not provide any specific protection to the debtor during the bankruptcy process.

Several businesses in the UAE have suffered because of the global pandemic. The cabinet also has the final authority to extend any of the time limits or dates set out in Chapter 15 bis. The Bankruptcy Law requires the debtor to meet the Bankruptcy Test to initiate the proceedings.

However, during the Emergency Financial Crisis period, the debtors are protected from certain legal actions. Specifically, they impose a suspension on:. The court can refuse to hear bankruptcy proceedings initiated by the creditors. If an extension has been granted because CBP needs more information and the Center director thereafter determines that more time is needed, he may extend the time for liquidation for an additional period not to exceed 1 year provided he issues the notice required by paragraph b of this section before termination of the prior extension period.

If the statutory period has been extended for one year at the importer 's request, and the importer thereafter determines that additional time is necessary, it may request another extension in writing before the original extension expires, giving reasons for its request. If the Center director finds that good cause as defined in paragraph a 1 ii of this section exists, the official notice of extension extending the time for liquidation for an additional period not to exceed one year will be posted on www.

The total time for which extensions may be granted by the Center director may not exceed 3 years. By continuing to use our website, you agree to the Privacy Policy and Terms of Use. Go Back to Trade Report. Practice Areas. View Our Services.

Related Trade Report Articles. Get our daily trade updates, advisories and podcasts in your inbox. CBP will postpone making determinations on protests that include a claim identify pending product exclusions, until the USTR makes a final determination on the product exclusion request.

Importers should contact their Livingston Service representative to request any applicable PSCs, Protests, or liquidation extensions be filed. List 1 has had 6 rounds of exclusions granted to date, with just 1 round each approved for Lists 2 and 3. If you have any questions regarding filing liquidation suspension requests for pending Section exclusions, Livingston can help!

Please contact either your Livingston account manager or our regulatory affairs group at usregaffairs livingstonintl.