Covid-19 | Extension of temporal scope of Royal Decree on temporary protection measures for enterprises
On 13 May 2020, the Belgian Federal Government extended the temporal scope of the Royal Decree on temporary protection measures for enterprises (the Decree) from 17 May 2020 until 17 June 2020.
The Decree was adopted on 24 April 2020 and grants an automatic moratorium during which enterprises are protected against (i) bankruptcy, judicial dissolution and transfers under judicial authority, (ii) attachments and enforcement measures, and (iii) termination of existing contracts due to non-payment. In addition, new credit lines provided during the moratorium and the security interests or acts that are implemented in execution of such new credit lines, will be protected against subsequent bankruptcy.
The automatic moratorium period initially applied until 17 May 2020, but has now been extended until (and including) 17 June 2020.
More information on the temporary protection measures can be found in our memorandum of 27 April 2020.