Compensation scheme
Compensation Ordinance (abbreviated AO) was the name of the law in Austria that regulated the compensation procedure. In addition to the bankruptcy order , the compensation order was the most important legal source of insolvency law .
In contrast to bankruptcy, the settlement was not aimed at the liquidation of the insolvent legal entity , but at its financial restructuring . The compensation quota had to be at least 40% of the outstanding claims and the majority of the creditors had to agree to the partial waiver of their claims. Within two years, they then received the corresponding share of their claim from the debtor.
The settlement procedure had lower costs than bankruptcy and therefore usually higher repayments to the creditors. Nevertheless, it had recently become rare, as the payment plan that was more favorable for the joint and several debtors was usually agreed.
The compensation scheme expired on June 30, 2010 as part of the 2010 Insolvency Law Amendment Act.
| Basic data | |
|---|---|
| Title: | Compensation scheme |
| Abbreviation: | AO |
| Type: | Federal law |
| Scope: | Republic of Austria |
| Legal matter: | Civil procedural law |
| Reference: | BGBl 1934 II / 221 |
| Effective date: | January 1, 1915 |
| Expiration date: | June 30, 2010 |
| Please note the note on the applicable legal version ! | |
structure
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Part I: Compensation procedure
- Section 1: Opening of the settlement procedure
- Section 2: Effect of the initiation of proceedings
- Section 3: Claims in Compensation Proceedings
- Section 4: Organs of the Compensation Proceedings
- Section 5: Compensation Conference
- Section 6: Content of the Compensation
- Section 7: Confirmation of Compensation
- Section 8: Effect of Compensation
- Section 9 annulment, continuation and termination of the proceedings
- Section 10 nullity and ineffectiveness of the compensation
- Section 11: Compensation of a trading company or a partner, an estate or a legal person
- Section 12: General procedural provisions
- Part II
