SECTION 6

Preventive settlement shall be open to the debtor who, without being insolvent, shall confirm financial or serious economic problems. The debtor shall file a petition alone or a joint petition with one or several of its creditors before the competent court; such petition shall be filed at the court registry against a receipt. In such petition, the debtor shall explain his financial or economic difficulties and the prospects for the company recovery and settlement of its liabilities. The debtor shall not file a petition for a preventive settlement where: - the preventive or judicial composition is being executed; - prior to the expiry of a period of three (03) years from the confirmation of a previous arrangement; - Prior to the expiry of a period of eighteen (18) months from the winding-up of a preventive settlement that did not result in a arrangement.