* This article was first published by INSOL International on April 17, 2015.

The bankruptcy case of Energy Future Holdings (EFH) and its affiliates has already provided the Delaware bankruptcy court occasion to tackle a number of important bankruptcy questions, including the propriety of using tender offers to settle noteholder claims during the pendency of the case.

The legislative process regarding the proposal of the Parliament and of the Council to amend the Regulation (whichwould introduce various changes as proposed by the Commission in order to address issues arisen in the enforcementof the Regulation) is approaching its conclusion

Introduction

The decision of the Court of Treviso of 26 February 2015 admitted a concordato proposal providing for a partial payment of receivables having a lien over the entire estate and for payment of unsecured creditors out of the higher liquidation value of the debtor’s assets according to the concordato plan, as compared to the bankruptcy liquidation value

The case

Two recent decisions of the Court of Reggio Emilia (18 December 2014) and of the Court of Palermo (13 October 2014) followed the Supreme Court’s case law according to which companies  held  by  public agencies can be declared bankrupt, even in case they provide “in house” services mainly to shareholders

The cases

A recent Delaware District Court decision concerning an appeal of a bankruptcy settlement clearly provides support for the use of tender offers or other exchange, or settlement mechanics permitted under applicable federal securities laws prior to and outside a plan of reorganization. In essence, this decision permits debtors to utilize exchange offers to repurchase outstanding securities at a discount, or obtain more favorable terms during a bankruptcy proceeding and prior to confirmation of a plan of reorganization.

Case Summary

The Second Circuit in Krys v. Farnum Place (In re Fairfield Sentry Ltd.)¹ denied a petition for rehearing or rehearing en banc by Appellee Farnum Place, LLC (Farnum), a hedge fund that sought to protect its purchase of a $230 million claim against the bankruptcy estate of Bernard L.

* This article was first published by INSOL International on March 16, 2015.

Upholds Extraterritorial Application of 11 U.S.C. § 362 Automatic Stay

The Supreme Court of the United States declined[1] to review the decision of the United States Court of Appeals for the Fourth Circuit in Jaffé v.

The Italian Supreme Court (judgement No. 14552 of 26 June 2014), ruled that the disclosure of acts in fraud carried out by the debtor causes the admission to concordato preventivo to be revoked according to Article 173 IBL, even in case of approval by the creditors.

The case