Can a PVA offer protection from creditor action?
The partnership is protected from action by unsecured creditors of the partnership as soon as the proposals for a PVA are agreed at meetings of creditors and members. Until this time the partnership is vulnerable to creditor action. If there are pressing creditors who can not be persuaded to delay action, an application should be made for a moratorium prior to a PVA or an administration order. A moratorium or administration order must be advertised. We can assist in negotiating with creditors on your behalf.
