Impact Of Covid 19 On Bankruptcy And Insolvency Law: A Global Study
Author: Swathy Sathyan, Student (LL.M.), Lovely Professional University, Punjab, India
Countries around the world are now facing the pandemic caused by the "coronavirus" and the WHO calls the pandemic "COVID -19." In order to monitor the spread of the pandemic across the states, most states are declared full "Lock down," since the virus is transmitted by interaction with the individual concerned. In implementing this preventive strategy, it results in the closing of the 'n' number of businesses and leads to the loss of many of the employees. Thereby it directly impacts the world's economy. The world faces a great crisis similar to the one which happened in 2008. Since the business operations are suspended, the business entities are going into the stage of bankruptcy. In order to avoid this the government across the States have introduced certain permanent and temporary changes in the “Insolvency and Bankruptcy Law” so as to make the companies being stay live during this pandemic and for facing the post pandemic requirements. In this research paper contain a detail of the amendments made in the Insolvency and Bankruptcy legislation of USA, UK, Germany and India due to the effect of COVID -19.
Keywords: COVID-19, Income, Insolvency and Bankruptcy legislation, Small Business Reorganization Act (SBRA), Temporary and Permanent Amendments
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