Best Bankruptcy Lawyers in Córdoba

About Bankruptcy Law in Córdoba, Argentina

Bankruptcy matters in Córdoba are governed primarily by Argentina's national insolvency framework and by the procedural rules of courts that operate within the Province of Córdoba. The national law establishes two main outcomes for an insolvent debtor - a preventive reorganization process intended to allow the debtor to restructure and continue operating, and liquidation where the debtor's assets are sold to satisfy creditors. In practice, Córdoba residents and businesses interact with local civil and commercial courts to start and manage these proceedings, and they must follow both national insolvency rules and provincial procedural requirements.

The system is designed to balance the rights of creditors to recover what they can with the possibility that a viable business can be preserved through an organized restructuring. Insolvency can affect companies, individual entrepreneurs and, in many situations, private individuals who have outstanding debts. Criminal liability can arise when there is evidence of fraudulent behavior such as concealment of assets or false accounting.

Why You May Need a Lawyer

Bankruptcy and insolvency are legally and factually complex. Common situations that typically require legal help include:

- Facing a creditor petition to declare bankruptcy against you or your company.

- Considering filing a preventive reorganization to avoid liquidation and negotiate a repayment plan with creditors.

- Negotiating with secured creditors, banks or suppliers to restructure debt or obtain time to pay.

- Responding to seizure orders, attachment of assets or enforcement actions initiated by creditors.

- Dealing with trustee or syndic appointments, inventory and valuation of assets and claims reconciliation.

- Addressing potential clawback actions or allegations of preference, fraud or criminal conduct that can accompany insolvency cases.

A lawyer experienced in insolvency and commercial law can explain legal options, represent you in court hearings, draft and negotiate restructuring proposals, prepare required documentation, protect rights of secured creditors and minimize personal liability risks where possible. Early legal advice increases the chance of an orderly outcome and of avoiding mistakes that could worsen the situation.

Local Laws Overview

The core national statute that governs insolvency procedures in Argentina is the insolvency law known as Ley 24.522. That law establishes the basic procedures for preventive reorganization and bankruptcy liquidation and sets out the roles of debtors, creditors, judges and trustees or syndics. Subsequent reforms and judicial practice have refined processes, deadlines and requirements.

In Córdoba the national law is applied together with the provincial civil and commercial procedural rules. This means local courts supervise procedural aspects such as filings, hearings, notifications and appeals. Procedural rules affect how quickly a case moves, the form of filings and the formalities for creditor meetings. Local judicial practice and the local courts handling civil and commercial matters are therefore important considerations.

Key practical legal elements to understand are:

- Preventive reorganization - a debtor-initiated procedure aimed at negotiating a restructuring plan with creditors that, if approved and confirmed, stays enforcement actions.

- Bankruptcy or liquidation - can be creditor-initiated or debtor-initiated when reorganization is not viable; assets are realized and distributed to creditors according to legal priority.

- Automatic stay - when a reorganization proceeding is admitted, there is generally a suspension of individual enforcement actions against the debtor while the procedure proceeds.

- Role of the trustee or syndic - an independent official is often appointed to inventory assets, verify claims and supervise the process.

- Treatment of secured claims - secured creditors have priority over their collateral, but the precise treatment depends on the nature of the security and the court's decisions.

- Criminal and civil liability - directors, officers or debtors can face civil claims or criminal investigations if there are signs of fraud, asset concealment or preferential payments prior to the insolvency filing.

Frequently Asked Questions

What is the difference between a preventive reorganization and bankruptcy liquidation?

A preventive reorganization is a judicial procedure aimed at enabling a debtor to negotiate a payment plan or restructuring with creditors so the debtor can continue operating. Bankruptcy liquidation is a process where the debtor's assets are sold and proceeds are distributed to creditors because reorganization is not feasible. Reorganization seeks rescue - liquidation seeks orderly distribution of assets.

Who can file for a preventive reorganization in Córdoba?

Normally the debtor itself may voluntarily file for preventive reorganization to seek protection and propose a plan. Creditors can also petition the court for bankruptcy or liquidation under certain circumstances. The filing must be supported with documentation showing the debtor is insolvent or facing imminent insolvency.

What happens to enforcement actions by creditors when a reorganization is admitted?

When a preventive reorganization is admitted by the court, there is typically a suspension of individual enforcement actions and collections against the debtor while the process is ongoing. This is intended to provide breathing space to negotiate a plan. The precise duration and scope of the suspension can vary by case and court orders.

Can I keep my assets or home if my company or I enter bankruptcy?

Treatment of assets depends on whether they are protected from creditor claims, whether they are subject to secured interests and on statutory exemptions. Secured creditors can normally enforce their security interest. Personal homes and certain basic personal effects may be protected to some degree under specific rules, but protection is limited and fact dependent. Consult a lawyer to evaluate exemptions and secured claims in your case.

Will bankruptcy remove personal liability for company debts?

Personal liability for company debts depends on the legal structure of the business and whether courts find improper conduct. Limited liability companies and corporations normally shield owners from company obligations, but directors and guarantors can remain personally liable for obligations they personally guaranteed or for proven misconduct such as fraudulent transfers or mismanagement. A lawyer will examine guarantees and potential liability issues.

How long does a bankruptcy or reorganization take?

Timelines vary widely depending on case complexity, asset size, number and distribution of creditors, existence of litigation and local court dockets. Simple cases may resolve in months; complex reorganizations or liquidations can take years. Procedural appeals, asset recovery actions and negotiations affect duration.

What costs are involved in bankruptcy proceedings?

Costs can include court fees, trustee or syndic fees, lawyers fees, valuation and accounting expenses and costs related to asset liquidation. Costs are typically paid from the debtor estate and are prioritized in distributions, but parties should expect upfront legal fees for representation and advice. Ask potential attorneys for a fee estimate and billing structure during initial consultations.

What happens to secured creditors and priority claims?

Secured creditors generally retain priority over assets that secure their claims - they may be able to seek enforcement against the collateral subject to judicial controls in the proceeding. Some priority claims such as certain tax debts, labor claims and administrative expenses may have specific ranking rules. The distribution order is determined by law and verified by the trustee and the court.

Can I negotiate with my creditors outside of court?

Yes - out-of-court restructurings and negotiated settlements can be a practical alternative. These may be faster and less costly than court proceedings. However, informal agreements may not bind all creditors and may be undermined if some creditors refuse to cooperate. A lawyer can help structure negotiations and advise when a formal proceeding would be preferable.

What should I do immediately if I am facing insolvency?

Gather and organize key documents - lists of assets and liabilities, recent bank statements, contracts, tax filings, payroll records and creditor lists. Avoid making preferential payments to certain creditors or hiding assets. Seek early legal advice from a lawyer with insolvency experience to explore options - negotiation, preventive reorganization or, if necessary, prepare to respond to creditor actions. Acting early preserves options and reduces risk of adverse legal consequences.

Additional Resources

When you need authoritative information or assistance in Córdoba, consider these local and national resources:

- National insolvency statute references - review the provisions of Ley 24.522 and subsequent amendments for the basic framework of preventive reorganization and bankruptcy.

- Poder Judicial de la Provincia de Córdoba - the provincial judiciary administers civil and commercial courts where insolvency matters are handled; court clerks can provide procedural information about filings and hearings.

- Colegio de Abogados de Córdoba - the local bar association can help you find qualified insolvency and commercial law attorneys and may provide referral services.

- Agencia Federal de Ingresos Públicos - for tax implications and outstanding tax liabilities, AFIP is the national tax authority that interacts with insolvency procedures.

- Consumer and labor protection agencies - for questions about priority claims such as wages, local labor offices and consumer protection bodies can provide guidance on related claims.

- University legal clinics and legal aid programs - universities such as the Universidad Nacional de Córdoba often run clinics and legal assistance programs that can help individuals with limited resources.

Next Steps

If you believe you need legal assistance with a bankruptcy or insolvency matter in Córdoba, follow these practical steps:

- Collect documentation - assemble contracts, creditor statements, bank records, tax returns, payroll records and a complete list of assets and debts.

- Seek an initial consultation - contact a lawyer experienced in insolvency and commercial law in Córdoba. Ask about their experience with preventive reorganizations and bankruptcy liquidations, typical outcomes and fee structure.

- Be transparent - provide full and accurate financial information to your lawyer. Hiding assets or misrepresenting facts can lead to criminal exposure and worsen the outcome.

- Consider alternatives - discuss out-of-court restructuring, mediation or negotiated settlements with your lawyer before committing to formal court proceedings.

- Act promptly - insolvency problems often worsen quickly. Early legal advice can help preserve the estate, protect essential assets and increase possibilities for a successful restructuring.

Bankruptcy law can be technical and procedure-driven. A specialist lawyer will guide you through local court practice in Córdoba, protect your rights, and help build the best strategy for your situation. Start by organizing your documents and scheduling a professional consultation as soon as possible.