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Proxy

The term "proxy" refers to the authority or right given by creditors or other members to another person to attend a meeting and represent them there. This responsible person is called the "proxy holder" and he or she has the right to speak and vote at the meeting in question on behalf of the creditor or member.

In its second meaning, "proxy" refers to the legal document submitted by a creditor or another member and which authorizes a third party to represent them at a specific meeting. These meetings are usually creditors' meetings or other corporation-related meetings. A special proxy-form is used in order to make a person a legal representative of a creditor. This form has to be completed by the creditor who wishes to be represented at the meeting in question.

A proxy can be of two forms. The first is the so-called general proxy which implies that the proxy-holder is given the ability to make responsible decisions, so they have the discretion to vote as they think to be appropriate. The second type is the special proxy in which case a proxy holder has to vote as he/she was directed by the creditor he/she represents.

It should be noted that a proxy might represent a corporate party.