What is the purpose of the Corporate Insolvency and Governance Act?

The Corporate Insolvency and Governance Act (CIGA) is a law designed to help protect businesses in Virginia from insolvency. The purpose of this act is to provide businesses with temporary relief from lenders and creditors while allowing them to restructure their finances and operations. This act gives companies an opportunity to negotiate with their lenders and creditors to create a plan for their future that will benefit both parties. The act also provides protection for businesses from actions taken by creditors. The act prohibits creditors from taking legal action against a business while it is under the restructuring process. This allows businesses to continue operating while creating a plan for their future. The act also provides businesses with the ability to apply for new loans and other financial instruments to help them stay afloat. This allows businesses to obtain new financing that can help them during the restructuring process. The Corporate Insolvency and Governance Act was designed to provide companies in Virginia with a way to restructure their finances and operations without fear of legal action from creditors. This act also helps protect businesses from becoming insolvent and provides them with the opportunity to obtain new financing to help them stay afloat.

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What is the purpose of the Corporate Insolvency and Governance Act?

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