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Voluntary Arrangement
(redirected from Voluntary Arrangements)

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Voluntary Arrangement
An agreement between a debtor and one or more creditors whereby the debtor repays according to a certain schedule arranged between all parties. A voluntary arrangement benefits creditors because it ensures that they are repaid. However, it also benefits the debtor because it keeps him/her out of bankruptcy.


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Company Voluntary Arrangements offer the added benefits of allowing the firm''s leadership to continue to operate the enterprise, helping employees retain their positions, and facilitating a more advantageous payout to creditors than they would have received if the firm simply chose to liquidate its assets and shut its doors.
The papers address voluntary arrangements of self-regulation and codes of conduct at the firm level; the legal constitution and regulation of business at the industry level; and global-level governance of business using formal intergovernmental organizations, interstate negotiations, and complex new regulatory arrangements.
Richard Fleming, KPMG's head of Restructuring in the UK, discussed Company Voluntary Arrangements (CVAs), most recently brought to the public's attention with the successful implementation of CVAs for JJB Sports Plc and Blacks Leisure Plc.
 
 
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