I am planning to file for corporate rehabilitation. Who must submit the rehabilitation plan, and what requirements must it meet?

When filing for corporate rehabilitation, the rehabilitation plan can be submitted by the debtor (the company) or by related creditors, security holders, shareholders, etc.

In addition, creditors holding 1/2 or more of the debt or debtors who have obtained consent may prepare and submit a corporate rehabilitation plan to the court before the commencement of the corporate rehabilitation proceedings.

This plan plays an important role in rehabilitation proceedings, so it must meet various legally required conditions.

(1) It must not violate the provisions of the law.

(2) Fair and equitable differentiation must be made in the order of rehabilitation security claims and rehabilitation claims. (Principle of fairness and equity)

(3) The repayment terms must be equal among those holding rights of the same nature. (Principle of equality)

(4) The repayment method must not be more disadvantageous than what would be repaid to each creditor when the debtor's business is liquidated. (Principle of guarantee of liquidation value)

(5) The rehabilitation plan must be feasible.

For details, please consult with a specialist attorney who has handled numerous corporate rehabilitation cases.