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Restructuring and Settlement Agreement

December 31, 2012 by agribusiness in Construction Agreements with 0 Comments
A restructuring and settlement agreement is a document drafted between two parties referred to a creditor and a debtor for the reason of repayment of indebtedness. The agreement acts a helpful tool for both the parties in order to reach a common goal. The agreement helps to prevent an insolvency proceeding as both a parties come to a mutual decision of restructuring the capital structure of the debtor.

There are few terms and conditions to which both the parties need to agree. The terms and conditions are based on the following details:

  • The law that both the parties need to follow while making this agreement
  • The amount of payment that the debtor needs to make payment to the creditor. The mode in which the payment will be made also needs to be mentioned.
  • The process in which the debtor will restructure its capital
  • The situation under which the agreement can be terminated
Restructuring and Settlement Agreement

Restructuring and Settlement Agreement

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