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

Romania: Liability of Statutory Directors contributing to an insolvency by Alina Valeanu and Andrei M. Zamfirescu

Romanian insolvency proceedings are governed by a modern legal framework aimed at rescuing the insolvent debtor, while also ensuring (at least, partially) the payment of debts to creditors.

Sedes materiae in Romania is Law No. 85/2014 on insolvency prevention and procedures (Romanian Insolvency Code) which also covers special provisions for creditors (legal persons, insurance companies, groups of companies), and preventive measures and crossborder insolvency procedures.

The Undertaking: Mystery or reality? Andrea Csőke, Nicoleta Mirela Nastasie and Róbert Muzsalyi

The differences between Member States in relation to substantive and procedural rules are commonly a source of difficulties in cross-border proceedings.

Among others the Regulation 2015/848 of the European Parliament and the Council on insolvency proceedings (hereinafter: EIR-R) provides some new legal instruments to limit the possibility of secondary insolvency proceedings. The undertaking (Art. 36) is one of the new features which has not been known before in Continental legal systems.

Wrongful trading in Europe by Mihai Lanţoş

All modern European systems of law in force today provide for some sort of liability system for directors of companies, triggered by situations related to insolvency. If in some cases the obligations of the directors or the liability cases are loosely defined (holding the directors liable if general duties are disregarded), other pieces of legislation provide detailed and specific situations for misconduct leading to personal liability.

Strategic insolvency in Romania - by Nicoleta MUNTEANU

Through early restructuring and second chance, the European Union has been concerned with a reality less understood in the economic environment. As a state of things, insolvency is an element of the economic circuit, an imperative marker for the efficiency, dynamics and purpose of the economic mechanisms. As an effect, the insolvency of failing companies is determined, alongside subjective causes, by objective causes as well, by an economic and financial context that places the debtor undertaking in an undesirable situation beyond its control.

61 delegates attend INSoL Europe’s first training course in Romania

61 Romanian lawyers, lenders, insolvency practitioners, judges, representatives of the National Institute of Magistracy, the National Institute for the Training of Insolvency Practitioners and the National Union of Insolvency Practitioners attended the first module of the course dedicated to “International best practice and comparative examples”. The Director of the Programme of the High Level Course, Prof. Ignacio Tirado (Universidad Autonoma de Madrid, Spain) together with three International Experts, namely Prof. Irit Mevorach (University of Nottingham, UK), Prof.

The clash between criminal procedure and insolvency in Romania

For a couple of years now, the precautionary measures established during the criminal trial have given Romanian insolvency practitioners, judges, debtors and creditors a headache. In the first semester of 2015, the number of insolvency procedures which involved criminal precautionary measures against the debtor’s assets were as low as 75. A year later, from a total of 29,365 number of insolvency procedures, 377 of them involved criminal precautionary measures.

Romania: Breaking new ground – Romania introduces Group of Companies provisions

One of the most hotly debated topics in the insolvency world in the last few years has been the insolvency of the groups of companies. Romania introduced an entire chapter on the insolvency of groups of companies in the major overhaul of the insolvency legislation that took place in the summer of 2014 i.e. Law no.85/2014 on prevention of insolvency and insolvency proceedings.

Country Reports - Winter 2014/15 - ROMANIA

Romania: Insolvencies in 2014 In June 2014, the Romanian Parliament adopted a new law regarding the preventive and insolvency proceedings, namely law 85/2014. This new regulation aims to enable a collective procedure through which the liabilities of a debtor may be covered, while, at the same time, offering the debtor a chance for restructuring its business.

Country Reports Winter 2014/15. Updates from Latvia, Spain, France and Romania

After two years of fierce debate a major package of amendments is going to enter into force on 1 March 2015 in Latvia. The most controversial are those relating to personal bankruptcy. Firstly, after the sale of the debtor’s dwelling that served as collateral, the remainder of the debtor’s obligations towards the secured creditor will be discharged automatically, without applying a discharge procedure.

New Insolvency Law in Romania - A Step Ahead

by DLA Piper - Alexandra Radulescu, Managing Associate and Andreea Nica, Junior Associate Following a lengthy process which started in 2012 aiming to reform the Romanian insolvency framework as part of a wider judicial reformation program, the New Insolvency Law (Law no. 85/2014 regarding the prevention of insolvency and the insolvency proceedings) entered into force on 28 July 2014.