Doorstart
Restart
A restart is the continuation of the viable activities of a bankrupt enterprise through the transfer of assets to a new legal entity.
A restart is a commonly used structure in Dutch insolvency law whereby the bankruptcy trustee sells the viable parts of a bankrupt enterprise to a new company. The original legal entity retains the debts, while the new entity is able to continue operations unencumbered by those liabilities.
This mechanism is significant in that it can preserve value for creditors and safeguard employment. In practice, a restart is typically effected by means of a public auction or private sale, with the trustee seeking to achieve the highest possible realisation proceeds.
“The trustee opted for a restart of the bakery in order to prevent the loss of the ovens and the customer base.”
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