Source: https://wlt.lt/en/services/bankruptcy-restructuring.html Language: en 05 · Competence area # Insolvency law Insolvency proceedings concern more than the end of a company: business rescue, creditor interests, management decisions and transactions all matter. Wise Law [← All competence areas](https://wlt.lt/en/#services) ## Bankruptcy, restructuring and liability risks We represent companies, management and creditors in bankruptcy and restructuring, assessing the timing of insolvency, viability, claims and the effect of decisions on different stakeholders. Insolvency law is closely connected with transactions, management liability, accounting, intentional bankruptcy and damages claims, so the position must be based on financial information and the real course of the business. 01 ### Bankruptcy and restructuring Opening of proceedings, viability, restructuring plans, creditor arrangements and process strategy. 02 ### Intentional bankruptcy Causes of insolvency, management decisions, movement of assets, transactions, accounting and creditor interests. 03 ### Management liability and transaction challenges Duties during financial difficulty, damages claims, related-party transactions and their economic basis. 04 ### Creditor protection Claims, information and voting rights, security, challenges to other claims and oversight of the insolvency administrator. ## How we work 01 **Financial position and objective** We identify whether the objective is business rescue, protection of a claim, damages or completion of the process. 02 **Documents, transactions and liability** We assess accounting, management decisions, asset movements, creditors and disputes arising during the process. 03 **Representation in insolvency proceedings** We prepare claims, requests and appeals, participate in creditor decisions and represent clients in court. Insights ## Articles on this area Insolvency law ### When does a director have to initiate insolvency proceedings? Management should distinguish temporary liquidity problems from a situation where delay increases creditor loss. [Read](https://wlt.lt/en/insights/director-insolvency-liability.html) Insolvency law ### Intentional bankruptcy: what circumstances are assessed? Intentional-bankruptcy issues involve management decisions, transactions, accounting, creditor interests and their effect on the company’s insolvency. [Read](https://wlt.lt/en/insights/intentional-bankruptcy.html) DUK / FAQ ## Frequently asked questions ### When is a company insolvent? The assessment covers its ability to meet obligations, financial position, assets and liabilities, and the prospects of continuing the business. ### How does restructuring differ from bankruptcy? Restructuring seeks to preserve a viable business and reorganise obligations, while bankruptcy addresses the position of an insolvent entity and creditor satisfaction. ### What is intentional bankruptcy? The court considers the causes of insolvency, conduct, transactions, accounting and their impact on the company and creditors. ### How can a creditor protect its interests? By submitting and supporting the claim in time, using information and voting rights, challenging unfounded claims or decisions and assessing transaction challenges. Principal contacts: [Edenas Leleiva](https://wlt.lt/en/team/edenas-leleiva.html). Information on this website is general and does not replace an individual assessment of a specific matter. [Discuss your matter](https://wlt.lt/en/#contact) Continue ## Related competence areas [Related competence areas **Business law**](https://wlt.lt/en/services/business-law.html) [Related competence areas **Civil cases and disputes**](https://wlt.lt/en/services/civil-commercial-disputes.html) --- [About us](https://wlt.lt/en/about.html) · [Contact](https://wlt.lt/en/#contact) · [Legal information](https://wlt.lt/en/legal-information.html) · [Privacy](https://wlt.lt/en/privacy.html)