UPDATED 3 AUGUST 2020
Updates marked with *
Updated: Ireland, Israel
We take a look at some of the recent emergency legislation and measures implemented by various nations around the world in response to COVID-19. As this is a rapidly developing crisis, please ensure you keep a close eye on the Lexology Coronavirus hub page for the most up-to-date information.
As the Novel coronavirus (COVID-19) pandemic continues to spread across the globe, people and businesses are facing unprecedented challenges, both immediate and strategic. Governments in various jurisdictions have announced various measures to try to alleviate the distress caused by the numerous issues that have arisen and continue to arise, particularly around cashflow and employees.
Global FDSI Briefing
Welcome to our latest quarterly briefing on legal developments across our global network. I hope you find the articles insightful and thought provoking. Highlights this quarter include recent developments in Italian derivatives case law, an overview of the amendments made to Spain’s insolvency regulation and the UK’s FCA issuing first warning notices against individuals.
If you have any questions or would like further information please do not hesitate to contact me, or one of our global key contacts.
[Matthew Allen]
Matthew Allen
Restructurings, especially those involving multiple jurisdictions, are invariably complex matters. This CMS Expert Guide provides an overview of the various restructuring possibilities available in a large number of countries, allowing you to compare how the options are deployed in these jurisdictions.
We intend to update it periodically to reflect important changes as they happen.
If you need more information or have any questions, please do not hesitate to contact us.
Insolvency in France – an Introduction
The French ecosystem is facing a major paradigm shift.
While companies and major businesses have benefited for several years from cheap debt due to an abundance of liquidity (fuelled by banks, alternative providers of funding and private debt) and an accommodating monetary policy characterised by extremely low interest rates, they are now facing a sharp liquidity rarefication.
1. State of the Restructuring Market
1.1 Market Trends and Changes
Fidèle à sa jurisprudence, la Cour de cassation réitère sa position : de la seule fonction de dirigeant ne peut se déduire la qualité de caution avertie. En pareil cas, c’est à l’établissement de crédit de prouver qu’il s’est acquitté de son devoir de mise en garde lorsqu’il en est effectivement tenu.
The French government has made the assessment that certain small commercial courts were regularly finding themselves confronted with cases of great complexity, only because the company in difficulty had its head office in the jurisdiction of these courts. It therefore announced the establishment of specialised commercial courts (TCS) which will process the most complex insolvency proceedings.
The Macron law of 7 August 2015, named after the current Minister of the Economy, anticipated the establishment of specialised commercial courts which will process the most complex insolvency proceedings. Currently, any of the 134 French commercial courts can be applied to; the choice being mainly the location of the distressed company’s headquarters. This new arrangement aims to improve efficiency and to increase the number of specialised judges (because in France, commercial judges are lay judges). The aim of the reform is to save jobs.
Click here to read this article in French.
It is now possible for creditors and co-contractors of insolvent companies to take certain steps in French insolvency proceedings and make certain statements “online”.
Published in the middle of August, the 2015-1009 decree of 18 August 2015 could easily have gone unnoticed, if it hadn’t been expected for several months by us “technophile” practitioners.