Insolvency law & restructuring

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Recent Articles

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    01/03/2024
    Romania

    Harmonisation of insolvency avoidance rights from the Romanian perspective

    The EU directive harmonising certain aspects of insolvency law, a Proposed Directive published by the European Commission on 7 December 2022, sets minimum harmonisation standards in all member states regarding avoidance actions.According to current Romanian Insolvency Law, the concept of avoidance actions already exists and can be defined as the right of the insolvency administrator/liquidator to bring actions before the syndic judge for the annulment of fraudulent acts or operations of the debtor to the detriment of creditors' rights during the two years prior to the opening of proceedings. If...
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    01/03/2024
    Czech Republic

    Harmonisation of insolvency avoidance rights from the Czech perspective

    The right to effectively avoid the illegitimate removal of assets from a company in financial difficulties is a key element of any insolvency law that protects the rights of creditors and maximises the recovery of value from the insolvent company.Czech insolvency law, and in particular the insolvency avoidance rights, play a significant role as a recovery tool for creditors in insolvency proceedings, but in practice mainly act as a preventive warning signal for a debtor and its creditors when trading, even before financial problems arise.The EU directive harmonising certain aspects of insolvency...
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    01/03/2024
    Hungary

    Harmonisation of insolvency avoidance rights from the Hungarian perspective

    Hungarian insolvency law already knows the concept of avoidance actions. Allowing creditors and liquidators to challenge certain transactions aims to protect the value of the insolvency estate.  Although the principles of Hungarian insolvency law are the same as those outlined in the European Commission's proposal for a Directive (i.e. Proposed Directive), there are some aspects which would need to be carefully thought through before they are harmonised.General avoidance rulesUnder the Hungarian Insolvency Code (Act XLIX of 1991), any creditor and the liquidator can contest the following...
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    23/02/2024
    Spain

    Harmonisation of avoidance rights from a Spanish perspective

    Avoidance action is an umbrella term for adversary proceedings that seek to unwind or avoid transactions that occurred before an insolvency filing. These actions are also referred to as “claw-back claims” because, by undoing a transaction, an asset or value is being clawed back into the insolvency estate.With the publication of Law 16/2022 on 6 September 2022, Spain concluded its thorough review of insolvency law with the transposition of European Directive (EU) 2019/1023, which highlighted the regulation of avoidance rights through measures such as preventive restructuring frameworks,...
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    23/02/2024
    Portugal

    Harmonisaton of EU Insolvency Law and its impact on avoidance actions in Portugal

    The presentation of the Proposal for a Directive of the European Parliament and of the Council harmonising certain aspects of insolvency law (COM/2022/702) marks a significant step towards the convergence of fundamental aspects of insolvency law throughout the EU, which is considered fundamental if cross-border investment and cross-border business relationships are to reach their potential. One of the relevant aspects of this proposal is avoidance actions, which are aimed at protecting the interests of an insolvent estate and the targeting of those operations that are detrimental to the viability...
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    16/02/2024
    Italy

    Avoidance actions: Italy is prepared

    The European legislator intends to harmonise the avoidance actions in the member states. Italy, however, already has comprehensive legislation in place that covers this issue.European legal framework for insolvencyThe EU is seeking to harmonise the laws of its member states, as evidenced by its continuous efforts to issue new directives. After the issuance of Directive (EU) 2019/1023 on insolvency, which led to the enactment of the new Italian Bankruptcy Code (IBC), member states are now faced with a new proposal with Directive (EU) 2022/0408, which differs from earlier directives in its scope...
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