Moratorium and Notes: Difference between pages

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imported>Doug Williamson
m (Spacing 21/8/13)
 
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1. ''Law and finance.''
''Accounting''.


A legal authorisation postponing for a specified time the payment of debts or obligations.
Notes accompany financial statements (IAS) or accounts and may be required under the financial reporting standards or sometimes under relevant company or securities law.


The purpose is to give the debtor time to re-organise their operations appropriately during the moratorium.
Notes may also be included voluntarily by the company (or other reporting entity) to help - or arguably to hinder - understanding.


 
The latter argument - that excessive volumes of disclosure can hinder understanding - is based on the idea that the most significant financial information may be obscured by presenting too much other information around it.
:<span style="color:#4B0082">'''''Moratorium gives distressed companies temporary relief'''''</span>
 
:"[The Corporate Insolvency and Governance Act 2020 will, among other measures]
 
:*Introduce a new moratorium to give companies breathing space from their creditors while they seek a rescue.
 
:*Temporarily prohibit creditors from filing statutory demands and winding-up petitions for COVID-19 related debts.
 
:*Prohibit termination clauses that engage on entering an insolvency procedure, entering the new moratorium or beginning the new restructuring plan procedure. It will also prevent suppliers from ceasing their supply or asking for additional payments while a company is going through a rescue process.
 
:*Temporarily remove the threat of personal liability for wrongful trading from directors who try to keep their companies afloat through the emergency."
 
:''UK Government Corporate Insolvency and Governance Bill 2020: factsheet.''
 
 
2. ''Law and finance.''
 
A temporary suspension of creditors' usual rights in relation to unpaid debts.
 
 
3. ''Finance.''
 
Voluntary arrangements having similar effects.
 
 
4.
 
Any suspension of usual activities or arrangements.
 
For example, a moratorium on fishing or hunting endangered species.




== See also ==
== See also ==
* [[Corporate Insolvency and Governance Act]]
* [[Financial statements]]
* [[Debt]]
* [[Government paper]]
* [[Insolvency]]
* [[Note]]
* [[Restructuring plan]]
* [[Primary statements]]
* [[Statutory demand]]
* [[Sustainability]]
* [[Winding up petition]]
* [[Wrongful trading]]
 
[[Category:Accounting,_tax_and_regulation]]
[[Category:Compliance_and_audit]]
[[Category:Manage_risks]]
[[Category:Risk_frameworks]]

Revision as of 15:18, 21 August 2013

Accounting.

Notes accompany financial statements (IAS) or accounts and may be required under the financial reporting standards or sometimes under relevant company or securities law.

Notes may also be included voluntarily by the company (or other reporting entity) to help - or arguably to hinder - understanding.

The latter argument - that excessive volumes of disclosure can hinder understanding - is based on the idea that the most significant financial information may be obscured by presenting too much other information around it.


See also