The Australian government has taken swift action to enact new legislation that significantly changes the insolvency laws relevant to all business as a result of the ongoing developments related to COVID-19.
This quick guide summarises the duties that a managing director of a German GmbH (hereinafter "director") is subject to, and how those duties change when the company is insolvent or at risk of being insolvent.
It also gives an overview of the personal risk to directors when the company is in financial difficulty.
E-filing a notice of appointment of administrators outside of court counter opening hours can impact the validity of an administrator’s appointment.
One of the many questions asked by our clients is: “Does Polish law recognise the concept of ‘piercing the corporate veil?’” Is it possible to disregard the separate legal personality of a company or corporation and make shareholders liable for the debts of the company? This question has been asked since the introduction of the market economy in Poland (in 1989) and there is still no clear answer.
The Small Business, Enterprise and Employment Act (the “Act”) became one of the last acts of the current Parliament when it received Royal Asset on 26 March 2015.
Anyone investing equity in an enterprise, whether creating a start-up or purchasing an established company, is a natural optimist. The hope is that the business will continue to perform well and yield its owners substantial profits year-after-year (and then maybe a hefty return upon exit). But, as those of us in restructuring know, not every company enjoys positive returns all the time. Businesses go through down cycles for different reasons – whether it be the overall economic climate (think 2008), issues specific to a particular industry (think dropping oil prices), a gr
Judgment of the Supreme Court of Justice of 1 July 2014
This judgment concludes that the Insolvency Plan is an alternative corporate recovery measure which aims to satisfy the interests of the creditors, which applies indiscriminately to natural and to legal persons. When the insolvent is a natural person, the fact that the liquidation of its assets within the insolvency proceedings took place without the full payment of the claims, is still not enough to declare the release of the debtor.
Financial institutions are not de facto directors of the insolvent company because they do not significantly affect the performance of the insolvent company’s activity, but only ensure that certain costs do not affect the repayment of their loan.
A credit institution that is the indirect owner of an insolvent company’s share capital is not a person closely related to the insolvent company, unless it uses an intermediary to avoid that status.