Second Chamber of Dutch Parliament adopts new “Dutch scheme” (WHOA)
Earlier today, the Dutch House of Representatives (de Tweede Kamer) has voted in favour of the draft bill on “court sanctioning private composition to avoid bankruptcy” (de Wet homologatie onderhands akkoord ter voorkoming van faillissement, the WHOA), together with certain amendments.
This is great news: the WHOA is an effective restructuring tool that is likely to become widely used both in local and cross border restructurings. Especially in light of COVID-19, this is a welcome extra tool for enterprises in distress to avoid bankruptcy.
The Dutch Senate (de Eerste Kamer) will have the final vote on the WHOA. Given that the Dutch government has marked the WHOA as an emergency bill in light of COVID-19, we have good hope that the WHOA will come into force before or during the summer.
If you would like to receive more detailed information, reach out to one of our team members for more details on this new legislation.
Vincent VroomPartner Attorney at law
Vincent Vroom, attorney at law, specialises in restructuring and insolvency matters. He handles a range of issues in restructuring cases whether they arise within the courtroom or outside.T: +31 20 578 59 84 M: +31 6 51 26 63 19 E: email@example.com