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    First German Legislative Support Due to COVID-19 and Granting Liquidity Lifelines
    2020-03-17
    1. Introduction

      The situation due to the coronavirus has resulted in a massive disruption and to some extent even in a complete standstill of public and social life with far-reaching consequences for the national and international economy. The recent border closures will have a further impact on the movement of people and goods.

      As a result, the German Federal Government has announced that it will provide several instruments to reduce the impact of the situation:

    Filed under:
    Germany, Insolvency & Restructuring, Paul Hastings LLP, Coronavirus
    Authors:
    Dr. Christopher Wolff , Dr. Christian Mock , Fritz Kleweta
    Location:
    Germany
    Firm:
    Paul Hastings LLP
    German Federal Ministry of Justice and Consumer Protection Announced Suspension of the Obligation to File for Insolvency
    2020-03-18

    On Monday, 16 March 2020, the German Federal Ministry of Justice and Consumer Protection (Bundesministerium der Justiz und für Verbraucherschutz) announced that they are working on a legislative provision according to which the obligation to file for insolvency within three weeks following the occurrence of a reason for insolvency (i.e. illiquidity or over-indebtedness) would be suspended for such entities which face liquidity issues due to the Corona (COVID-19) pandemic.

    Filed under:
    Germany, Insolvency & Restructuring, Mayer Brown, Coronavirus
    Authors:
    Tina Hoffmann , Dr. Marco Wilhelm
    Location:
    Germany
    Firm:
    Mayer Brown
    COVID-19 in Germany: Immediate Measures to Gain State Aid Financing (KfW Credit et al)
    2020-03-18

    The German government announced that it will expand the KfW financing programme.

    Filed under:
    Germany, Banking, Insolvency & Restructuring, Latham & Watkins LLP
    Authors:
    Frank Grell , Jörn Kowalewski , Ulrich Klockenbrink
    Location:
    Germany
    Firm:
    Latham & Watkins LLP
    COVID-19 - Temporary Suspension of the Obligation to File for Insolvency in Germany
    2020-03-18

    According to the ministry, the draft bill has been prepared, and a first reading in the Bundestag is scheduled for March 25, 2020. It is expected that the law will come into force this month. According to the aforementioned press release, the temporary suspension of the obligation to file for insolvency will be subject to the following conditions:

    Filed under:
    Germany, Insolvency & Restructuring, McDermott Will & Emery, Coronavirus
    Authors:
    Uwe Goetker , Dr. Matthias Kampshoff , Dr. Marc Oberhardt
    Location:
    Germany
    Firm:
    McDermott Will & Emery
    Oberlandesgericht München bestätigt: Kein Versicherungsschutz für Ansprüche gemäß § 64 GmbHG
    2019-12-19

    Das Oberlandesgericht München hat in einem bisher unveröffentlichten Hinweisbeschluss[1] die Rechtsauffassung des Oberlandesgerichts Celle[2] und des Oberlandesgerichts Düsseldorfs[3] bestätigt, dass für Ansprüche des Insolvenzverwalters gegen Geschäftsführer wegen Zahlungen trotz Insolvenzreife kein Versicherungsschutz unter einer D&O-Versicherung besteht. Daneben hat das Oberlandesgericht München auch zur Verteilung der Darlegungs- und Beweislast in Abtretungskonstellationen Stellung bezogen.

    Filed under:
    Germany, Insolvency & Restructuring, Insurance, Litigation, Clyde & Co LLP, Federal Court of Justice
    Authors:
    Dr. Henning Schaloske , Daniel Kreienkamp
    Location:
    Germany
    Firm:
    Clyde & Co LLP
    Beschäftigungsanspruch von schwerbehinderten hat grenzen
    2019-07-05

    Schwerbehinderte haben das gesetzlich verbriefte Recht, dass ihr Arbeitsverhältnis entsprechend ihrer gesundheitlichen Situation durchgeführt wird. Dieser Anspruch besteht aber nur insoweit, als dies für den Arbeitgeber zumutbar ist. Eine Beschäftigungsgarantie ergibt sich hieraus jedoch gerade nicht.

    Sachverhalt

    Filed under:
    Germany, Employment & Labor, Insolvency & Restructuring, Litigation, Advant Beiten, Bankruptcy, Insolvency Act 1986 (UK)
    Authors:
    Dr. Sarah Reinhardt-Kasperek
    Location:
    Germany
    Firm:
    Advant Beiten
    Insolvency contesting rights
    2019-07-12

    The German Insolvency Act (the Act) states that certain company "cash transactions" may be contested in insolvency proceedings only in limited circumstances. Earlier this year, the German Federal Court of Justice clarified that this "cash transaction privilege" does not apply to securities granted by a debtor company for shareholder loans.

    Filed under:
    Germany, Insolvency & Restructuring, Litigation, Taylor Wessing, Debtor
    Authors:
    Melanie Jörg
    Location:
    Germany
    Firm:
    Taylor Wessing
    Energy related risks in corporate transactions and restructurings
    2019-07-16

    Numerous energy-intensive companies having production facilities in Germany benefit from energy regulatory opportunities to reduce their electricity costs. The economic benefits of using these opportunities can be significant and quickly amount to several million euros a year. In the context of a number of recent transactions and restructurings relating to energy-intensive companies, we have analysed how the planned transaction/restructuring would affect existing energy regulatory benefits.

    Filed under:
    Germany, Energy & Natural Resources, Insolvency & Restructuring, DLA Piper
    Authors:
    Michael Cieslarczyk , Christopher Ollech
    Location:
    Germany
    Firm:
    DLA Piper
    Drohende Insolvenz wegen nachzuzahlender SV-Beiträge
    2019-07-31

    Eine Betriebsprüfung beim Arbeitgeber kann dazu führen, dass Sozialversicherungsbeiträge nachgefordert werden. Die Folge kann eine drohende Insolvenz sein.

    Filed under:
    Germany, Employment & Labor, Insolvency & Restructuring, CMS Germany, Social security
    Authors:
    Dr. Alexander Bissels , Dr. Felix Fuchs
    Location:
    Germany
    Firm:
    CMS Germany
    Nichterfüllungswahl des Insolvenzverwalters in der D&O-Versicherung
    2019-08-05

    Mit rechtskräftig gewordenem Urteil vom 06.03.2019 (Az. 5 O 234/17) hat das Landgericht Wiesbaden entschieden, dass es dem Insolvenzverwalter und allen versicherten Personen verwehrt ist, Versicherungsschutz für Inanspruchnahmen zu verlangen, die einer Versicherungsperiode zuzuordnen sind, für die der Insolvenzverwalter die Nichterfüllung des D&O-Versicherungsvertrags gewählt hat.

    Filed under:
    Germany, Insolvency & Restructuring, Insurance, Litigation, Clyde & Co LLP
    Authors:
    Dr. Daniel Kassing, LL.M.
    Location:
    Germany
    Firm:
    Clyde & Co LLP

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