CVA question
Posted: January 29th, 2018, 10:48 am
Hi, It's been a while since I posted here but a question arose at work this morning and I thought that here would be the best place to post it.
A company entered into a CVA 24 months ago but did not include all its creditors. One of those creditors, being unaware of the CVA, offset a debt with new sales from the company that had the CVA. Was the creditor entitled to take the action to recover the debt or does a CVA bind all creditors regardless of whether they were included in the CVA or not.
Many thanks in advance
Doone
A company entered into a CVA 24 months ago but did not include all its creditors. One of those creditors, being unaware of the CVA, offset a debt with new sales from the company that had the CVA. Was the creditor entitled to take the action to recover the debt or does a CVA bind all creditors regardless of whether they were included in the CVA or not.
Many thanks in advance
Doone