CCAA (Companies' Creditors Arrangement Act)

The Companies' Creditors Arrangement Act (CCAA) is a Canadian law that helps financially troubled companies restructure their debts. Instead of going straight to bankruptcy, a company can apply under the CCAA to negotiate a plan with its creditors while being protected from immediate legal actions. This allows the company to stay operational and work towards becoming financially stable again. The process is supervised by the court, and it aims to balance the interests of the company, its creditors, and employees, ultimately seeking a fair resolution to help the business recover.