Over the last few years Spain has amended its insolvency laws to promote
out of court refinancing arrangements as a much needed alternative
to formal insolvency proceedings. The outcome of these changes,
aimed at putting Spain on a par with other EU jurisdictions, is yet to be
seen. However, what is clear is that the latest round of amendments
has substantially improved the possibility of reaching an out of court
refinancing settlement in Spain.
Historically, in relation to syndicated facilities, out of court refinancing
UPDATED 3 AUGUST 2020
Updates marked with *
Updated: Ireland, Israel
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On 20 December 2020, Turkey enacted Presidential Decision No. 3433, which extends the period for applying and making payments vis-à-vis new restructuring regime on receivables contained in the Law on Restructuring of Certain Receivables and Amending Certain Laws No 7256 (“Restructuring Law”), which came into force 17 November last year.
Introduction:
On 17 November 2020, Turkey enacted the Law on Restructuring of Certain Receivables and Amendment of Certain Laws No 7256, which allows the restructuring of certain public receivables and introduces several amendments to the tax legislation.
Bazı Alacakların Yeniden Yapılandırılması ile Bazı Kanunlarda Değişiklik Yapılması Hakkında Kanun (“Kanun”) 17 Kasım 2020 tarih ve 31307 sayılı Resmî Gazete’de yayımlandı.
Kanun’un 1. maddesinin 1. fıkrasında kanun hükümlerinin uygulanacağı çeşitli alacaklar, idari para cezaları ve vergi cezaları düzenlenmiştir. 2. fıkrada Kanun kapsamında vergi, gümrük vergileri, beyanname ve Yİ-ÜFE aylık değişim oranlarının tanımları verilmiştir.
The Law on Restructuring of Certain Receivables and Amendment of Certain Laws (“Law”) was published in the Official Gazette dated 17 November 2020 and numbered 31307.
Various receivables, administrative fines, and tax penalties which are subject to the provision of the Law are regulated in the 1st paragraph of article 1 of the Law. While in the 2nd paragraph, the definitions of taxes, customs duties, declaration, and D-PPI (Domestic-Producer Price Index) monthly rate of change are given within the scope of the Law.
I. GİRİŞ
The Turkish bankruptcy regime went through a fundamental change on 15 March 2018 when a legislative change abolished the postponement of bankruptcy concept and reinstated an updated version of “concordato” in its place. Most of the new provisions introduced with this amendment law were directly acquired in a rush from the insolvency laws of Switzerland; hence, these laws have not been adequately adapted to suit the needs of the Turkish business environment.
As more Turkish companies begin to report liquidity issues and economic pressures begin to bite, successful financial restructurings are likely to become increasingly critical to the prosperity of the Turkish economy
Only time will tell whether local processes will provide a suitable toolkit for large-scale corporate restructurings, or whether other international restructurings processes may also have a role to play.