The Supreme Court of Spain has recognized it its Judgment dated September 5th, 2012, the lack of consent in a work contract on which one of the parties applied for the bankruptcy proceedings 10 days after such contract was entered by both parties.
The parties entered into a contract for execution of work by virtue of which the company that few days later applied for the insolvency proceedings, was committed to carry out the works of a building under construction.
Once the bankruptcy proceeding was started, each party issued a claim within the insolvency proceeding.
On April 16, 2013, in Morning Mist Holdings Ltd. v. Krys (In re Fairfield Sentry Ltd.),1 the US Court of Appeals for the Second Circuit issued an important decision informing fundamental concepts of cross-border insolvency law as implemented pursuant to Chapter 15 of the Bankruptcy Code.
The Company Court of Alicante, Nº 1, made, in its judgment dated July 20th, 2012, a useful analysis on the different decisions part of the case law in regards to the recognition of pledgesof future receivables and their classification as privileged credit in cases of bankruptcy proceedings, being a very commonly practiced consideration.