Global Insolvency | Daily News Headlines on Insolvency Developments across the Globe

Pre-packs in Poland: Developments and amendments to bankruptcy Law by Karol Tatara and Mateusz Kaliński

There have recently been important changes to Bankruptcy Law in Poland. They mainly regard consumer bankruptcy but they also had an impact on other areas of insolvency. The pre-packs (pre-packaged administration) have also been affected as the Act of 30 August 2019 amending Bankruptcy Law and other legal acts1 changes materially the pre-pack legislative framework.

Poland: Dynamics, participants, statistics and the future by Dr Patryk Filipiak

The Polish Restructuring Law of 2015 allows for the conclusion of an arrangement with creditors in out-of-court proceedings (“arrangement approval proceedings”).

It is one of four proceedings under the Law. Creditors’ votes are collected by the debtor under the supervision of an arrangement supervisor. Having obtained the majority of two thirds of the value of claims, the arrangement is approved by the court.

Bank insolvencies in Central and Eastern European legislation by Dr. Richárd Bódis

The financial crisis of 2008 affected the economic players more than ever, with the winding-up of a large number of financial institutions worldwide. Due to the specialisation of banks among other legal entities, insolvency is a scenario to be avoided, with restructuring being the more favourable solution.

Tackling rising consumer insolvency in Poland by Pawel Kuglarz

For several years, consumer bankruptcy in Poland has been increasing. In our country, this instrument is still failing because it allows solving the debt problem for a small number of people.

In 2017, 5,535 people were delinquent, in 2016 only 4,436 people (out of 8694 applications filed for bankruptcy). In previous years, it was even worse (only 32 bankruptcies in 2014). Considering the number of applications submitted so far in 2018, a dramatic increase in the number of declared consumer bankruptcies can be expected next year.

Legal framework for distressed M&A transactions in Poland by Andrzej Wierciński, Jakub Jędrzejak and Klaudia Frątczak-Kospin

Andrzej Wierciński, Jakub Jędrzejak and Klaudia Frątczak-Kospin write on the new opportunities for investment in Polish distressed businesses

With the enactment of the new Polish Restructuring Law and a substantial reform to the Bankruptcy Law as of 1 January 2016, the legal framework for distressed M&A transactions inPoland has been significantly changed and new legal tools became available to implement it.

'Pre-packs in Poland: 18 months on' by Karol TATARA, Marcin KUBICZEK and Mateusz KALINSKI

The pre-packaged liquidation/administration proceedings often shortened simply to ‘pre-packs’ – have been in force in the Polish Insolvency Law framework since 1 January 2016. Pre-packs are, in Poland, judicial proceedings, where the decision whether to approve salepurchaseconditions is made by the Bankruptcy Court, together with the decision regarding declaring bankruptcy. The main feature of pre-packs is the possibility to sell the insolvent debtor’s assets to the investor, within bankruptcy proceedings, without auction or tender.

Senior management responsibility in banks

Regulators have made clear their view that responsibility for the culture of a bank sits at the top; if senior management create the right culture, good regulatory practice and procedures will naturally follow. Following the financial crisis banks’ senior management have come under increasing regulatory scrutiny and in some jurisdictions proposals have been put forward to make it easier to make them accountable for their actions. To help you keep up to date with current developments, we have produced a comparative analysis of how senior management responsibility in banks is being treated in

Article from INSOL Europe (Week 21 - 27 March 2016) GlobalINSOLvency Editorial Board

With the beginning of 2016, an extensive amendment to the Polish act ‘The bankruptcy and reorganisation law’ will enter into force. The solutions adopted by the Polish legislator express the change of approach to the issue of enterprises restructuring and insolvency, which is demonstrated by promoting restructuring mechanisms in order to avoid liquidation of the debtor’s company – of course, while ensuring the creditors’ rights protection.

Bond restructuring: A completely new legal regulation in Poland

Completely new solutions on bond restructuring will come into force in Poland on 1 July 2015. The change is crucial – so far, in principle, bond restructuring has been impossible, with the issuers having to resort to partial solutions or being unable to conduct any restructuring at all. The amendment arises from the new Act on Bonds of 15 January 2015 (the “Amendment”). The new rules introduce a number of solutions designed to allow “real” restructuring of bonds – by amending the terms of issue.

Challenges for the US Retail Sector, Inside and Outside Bankruptcy

In recent months, the US has seen a staggering increase in the number of retailers, both large and small, filing for bankruptcy. Among others, Dots, Alco Stores, Radio Shack, Deb Shops, Wet Seal, and Delia’s have each filed for bankruptcy protection in the past six months alone. There can be little doubt that these retailers and countless others, face tremendous challenges given consumers’ shift in preference to online shopping with expedited shipping over visiting a bricks-and-mortar store.