In times of financial turbulence, politicians, regulators and the media make the case for tighter controls of the markets.  However, with new regulatory powers coming in and the resulting extra layer of complexity that their application brings, investors have their reasons not to put their trust in regulators.  As seen with recent developments in Portugal and Italy, a number of competing motivations surround the rescue of financial institutions.  The old maxim – “Put your trust in God, but keep your powder dry” -  may be applied to describe investor sentiment in an envir

Cadwalader partner Richard Nevins discusses developments in European restructurings with Doug Mintz, Restructuring Review's Co-Editor-in-Chief and Cadwalader Special Counsel.

In our update this month we take a look at a case in which a non-party costs order was made against a major shareholder in the insolvent claimant company. The court found that the shareholder was the real party to the litigation; it funded the litigation, it was exercising control over the litigation and it would have been the main beneficiary had the litigation succeeded. We cover this, and other issues affecting the insolvency and fraud industry:

Montpelier Business Reorganisation Ltd v Jones & Others (2017)

Background

The British Retail Consortium (BRC) recently reported strong trading for the UK high street in the weeks leading up to Christmas 2016. In a fillip for a sector beset by problems, the slow start to the Christmas trading period was reversed as spending in the sector in December grew 1.7% on the same period last year.

The new Part 26A Companies Act Restructuring Plan procedure, dubbed the “Super Scheme”, (summarised here) was gathering pace in the English courts since its introduction in June last year. Last week’s judgment in gategroup presents a potential speed bump in terms of its implementation as the restructuring tool of choice in European cross-border restructurings.

Az ENEFI és a román adóhatóság közötti jogvitában az eljáró bíróság előzetes döntéshozatali kérelemmel fordult az Európai Unió Bíróságához, melyben az uniós jog értelmezését kérte a magyarországi fizetésképtelenségi eljárás romániai joghatásával kapcsolatban. Korábbi blogbejegyzésünkben beszámoltunk az ENEFI és a romániai adóhatóság közötti jogvitában 2016.

In response to the coronavirus outbreak, a number of government and central bank measures are available to businesses in Europe. Additionally, insolvency laws have been updated. Our guidance outlines what this means to businesses in 14 countries: Austria, Belgium, Denmark, Finland, Germany, Hungary, Ireland, Italy, Netherlands, Norway, Poland, Portugal, Spain and UK.

Az Európai Unió Bírósága közzétett végzésében megerősítette a korábbi gyakorlatát a székhelyét más államba áthelyező társaság fizetésképtelensége esetén irányadó joghatósági szabályokkal kapcsolatban. Bejegyzésünkben röviden áttekintjük az irányadó esetjogot, és azt, hogy ebben milyen változást fog hozni a 2017-től alkalmazandó új uniós jogszabály.

The EU Directive on restructuring and insolvency was published in the OJEU on Wednesday. Members states have until 17 July 2020 to implement it, and this includes the UK as it stands: the UK has much – but not all – of it already. The UK Government has its own plans for reforming insolvency law of course, including to re-introduce Crown Preference. It is mostly about creating a rescue framework.

This edition of Global Insight comes to you shortly after the United Kingdom voted to leave the European Union.