Question juridique clé
Whether a petition for moratorium and opening of the Pfandnachlassverfahren must be denied when it is already clear that the composition agreement cannot save the debtor from imminent collapse.
Solution extraite
Yes. If it is already indisputably clear at the time of the decision that the composition procedure will not avert the debtor's collapse in the foreseeable future, the petition must be refused.
Motifs extraits
The purpose of any composition procedure, including lien composition, is the rehabilitation of the distressed debtor. If that goal cannot be achieved from the outset, refusing the request avoids further debt accumulation during the procedure and unnecessary costs. This is especially true where the debtor will not be able to bear even the residual burdens remaining after completion of the procedure.