From the date on which the invitation to the creditors’ meeting is duly published until the final outcome of the composition proceedings, all due claims of the bond creditors are subject to a stay of enforcement.
Such stay is not a suspension of payments within the meaning of the Debt Collection and Bankruptcy Act of 11 April 1889; the creditors may not apply for the commencement of insolvency proceedings without prior debt enforcement.
For the duration of the stay, such prescriptive and forfeiture periods as can be interrupted by debt enforcement are suspended for the due claims of the bond creditors.
Where the borrower abuses the right to obtain a stay of enforcement, at the request of a bond creditor it may be lifted by the higher cantonal composition authority.
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