La Dirección General de Tributos examina, en un contexto de consolidación fiscal, las consecuencias fiscales de una operación en virtud de la cual la entidad dominante condona los créditos que tiene sobre sus filiales, derechos adquiridos previamente por medio de una operación de reestructuración empresarial no acogida al régimen de neutralidad fiscal y registrados por un valor inferior a su nominal.

The question of who is entitled to payment of compensation for PPI where a debtor has been discharged from his/her Protected Trust Deed (PTD) has given rise to conflicting judicial decisions in Scotland. In our previous article, we highlighted the uncertainty created following the decision of Sheriff Reid in the case of Donnelly v The Royal Bank of Scotland and the decision of Lord Jones in Dooneen Limited, t/a Mcginnes Associates and Douglas Davidson v David Mond.

Article 93(2)(3) of the Spanish Insolvency Act¹ (abbrev. LC) states that companies that belong to the same group of companies as the insolvent debtor shall be regarded as parties related to such debtor.

Privilege bestowed on (syndicated) creditors instigating the insolvency proceedings against the debtor

Preamble

Equality among all creditors (the so-called par conditio creditorum) is a basic principle under Spanish insolvency rules. Only specific exceptions envisaged in the Spanish insolvency law allow for a particular creditor to take precedence over others in the recovery of its claims against the debtor.

Generally speaking, the following ranking applies to insolvency claims (excluding predeductible claims):

It is known to everyone operating in the Spanish restructuring market that taking security to secure pre-existing indebtedness of a particular borrower is not a risk-free matter.

Our legislation prohibits (as unconscionable) clauses that, while not negotiated with consumers, require “collateral disproportionate to the risk assumed” (art. 88(1) of the Spanish Consumer and User Protection Act). Note that this rule has not been the subject of any case law development and that the clause that paradoxically could yield to art.

The rule

The Portuguese Official Journal (Diário da República) published last 30 May Act no. 32/2014, approving the new pre-enforcement out-of-court procedure.

The above referred procedure will come into force on 1st September 2014 and will be available to creditors with enforceable instruments that may be relied on in summary enforcement proceedings (judgments, orders for payment and extrajudicial instruments regarding overdue pecuniary obligations).

En los acuerdos de refinanciación homologados 1. Según el apartado 2 de la DA 4ª, a los efectos de la presente disposición se entenderá por “valor de la garantía real” de que goce cada acreedor el resultante de deducir, de los nueve décimos del valor razonable del bien sobre el que esté constituida dicha garantía, las deudas pendientes que gocen de garantía preferente sobre el mismo bien, sin que en ningún caso el valor de la garantía pueda ser inferior a cero ni superior al valor del crédito del acreedor correspondiente. Alcance 2.

Introduction This paper sets out to present a concise description of the amendments to the rules governing Spanish pre-insolvency arrangements pursuant to new Royal Decree Act (Order in Council) 4/2014, of 7 March, adopting urgent measures in relation to refinancing and restructuring of corporate debt (“RDA 4/2014”), in force as from 9 March 2014. This new text has introduced a series of important changes, most of them via amendments to the Spanish Insolvency Act (“SIA”), aimed at easing and expediting preinsolvency debt refinancing and restructuring processes in Spain.