Practice question
A creditor attended, dissented and protested against majority approval. It timely alleges prejudicial defects in the call and deliberations. Is a formal vote alone sufficient to prevent any court examination?
- Yes; a majority vote makes fraud and notice defects legally irrelevant.
- Yes; only the debtor can ever object.
- No; because every approved proposal is automatically void.
- Yes; the court lacks every role after the meeting begins.
- No; the specified prejudicial procedural defects are a recognized objection ground.
Legal references
- RA 10142, Sections 95 and 99-102, suspension of payments: https://lawphil.net/statutes/repacts/ra2010/ra_10142_2010.html
- Supreme Court A.M. 15-04-06-SC, April 21, 2015, FLSP Rules, Rule 3(A), official PHILJA publication: https://philja.judiciary.gov.ph/files/bulletin/Bul66.pdf
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