Bank eventually cooperates with debt restructuring
My clients ran a pub. They had secured financing (a loan) to the amount of € 125,000 from the ABN Amro bank for this purpose. However, the bank lost confidence after several years and wanted to terminate the loan. My clients were not able to repay this loan all at once. The bank subsequently commenced proceedings against my clients, claiming back the full amount on the loan.
My clients could not really put forward much of a defence against this. They had agreed a loan with the bank that could be withdrawn at any given moment. The bank was simply entitled to repayment of the money it had lent to my clients. The bank did have the problem, however, that my clients were not able to pay this back within the foreseeable future. Fortunately, my clients found an external backer. The backer was only prepared to take over part of the amount to be paid back as a loan.
During the Court session, firm negotiations were held with the bank. After the bank had become convinced of my clients' miserable recovery position, the bank appeared to be prepared to accept part of the borrowed amount as payment in full settlement of the debts, providing this amount would be paid back immediately. The external financer agreed to lend this amount to my clients and to pay it to the bank. This relieved my clients of a substantial part of their liabilities.