Under What Conditions Might a Business Consider Seeking an Arrangement

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The Answer is The CCAA is a federal statute that allows an insolvent company to obtain protection from its creditors while it tries to reorganize its financial affairs.The CCAA may be used by corporations that have total debt exceeding $5 million.Similar to the situation with a proposal under the BIA,once a company obtains a court order under the CCAA,the company's creditors are prevented from taking any action to collect money that is owed to them.Unlike the BIA,however,the protection afforded by the CCAA applies to secured as well as unsecured creditors,and even to lessors and critical suppliers.

Under What Conditions Might a Business Consider Seeking an Arrangement

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