The German Federal Ministry of Justice recently published a proposal to amend the German Insolvency Code to provide substantial additional clarity to the rights of parties in the event of the insolvency of a German licensor of intellectual property.

Recent court decisions by the District Court of Frankfurt am Main and the Court of Appeals of Frankfurt am Main are forcing market participants to adjust their expectations regarding the applicability of the German Bondholder Act of 2009 to restructurings of German law-governed bonds issued prior to August 5, 2009. The attached memorandum summarizes the implications of the Courts' decisions.

THE INTERNATIONAL SCENE: The New German Insolvency Code: Decoding Improvements and Remaining Risks (citation: Dr. Leo Plank, Dr. Bernd Meyer-Löwy and Carl Pickerill, The New German Insolvency Code: Decoding Improvements and Remaining Risks, XXXI ABI Journal 2, 46-47, 55, March 2012) - Dr. Leo Plank, Dr. Bernd Meyer-Löwy and Carl Pickerill

FEATURE: Patenting New Protection for Chapter 15 Licensees (citation: Luke A. Barefoot and Emily Bussigel, Patenting New Protection for Chapter 15 Licensees, XXXI ABI Journal 1, 32-33, 66, February 2012) - Luke A. Barefoot and Emily Bussigel

An interruption from the floor briefly flustered Angela Merkel in a parliamentary debate on Nov 23. Had the German chancellor told the Bundesbank she wanted growth in Europe, challenged an opposition deputy - a jibe at the apparent policy contradiction with the Bundesbank's mandate to fight inflation. Merkel hesitated momentarily, then answered: "It's in my character to be consistent, whether I'm speaking with you, with party colleagues, with the Bundesbank or with my European partners. I am not duplicitous.

EUROPEAN UPDATE: Expected Return to Former Overindebtedness Test under German Insolvency Law (Citation: Adam Gallagher, Expected Return to Former Overindebtedness Test under German Insolvency Law, XXX ABI Journal 8, 30, 82, October 2011) - Adam Gallagher

Germany is king when it comes to debt and calculated based on the amount of losses compared to economic performance, Germany was the biggest debt transgressor of the 20th century, according to German economic historian, Albrecht Ritschl, Finfacts reported. Ritschl told Der Spiegel magazine that Germany was the worst debtor nation of the past century.

In the last few days of his term, outgoing Bundesbank President Axel Weber appeared extremely satisfied with how effectively he had done his job. Looking back on seven years as head of the German central bank, he said, "we actually achieved quite a lot." Everywhere Weber goes, people rave about Germany's rapid economic recovery.