Common features of the StaRUG and the ESUG

Both the ESUG (the German act facilitating the restructuring of companies) and the StaRUG (the German Act on the Stabilisation and Restructuring Framework for Businesses) pursue the common goal of restructuring companies. Both procedures involve drawing up and voting on a restructuring plan: an Insolvenzplan (the plan creditors vote on in German insolvency proceedings) in the case of the ESUG and a restructuring plan under the StaRUG. The focus is on preserving the company’s legal status.