From Providence Business News: Superior Court approves new program for businesses to stay collections, evictions
April 2020
A program ordered by the R.I. Superior Court could offer a needed lifeline to businesses that have been hit hard by losses associated with COVID-19. The COVID-19 Non-Liquidating Receivership Program creates a process through which businesses can gain protection from creditors using a non-liquidating receivership.
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If approved by the court, the program in effect stays any lawsuits or collections against the business through the receivership period.
That doesn’t mean businesses can skip paying the rent or other bills, said John A. Dorsey, a partner with Providence-based Ferrucci Russo Dorsey. Dorsey, with partner W. Mark Russo, has been named a coordinator of the program. That position requires them to help explain the filing process and answer questions of businesses and their attorneys.
