On 27th March 2025, the Court of Justice of the European Union (“CJEU”) delivered a ruling in the case Matthäus Metzler, acting as insolvency practitioner in insolvency proceedings vs. Auto1 European Cars BV (Case C‑186/24) concerning the interpretation of Article 31(1) of Regulation (EU) 2015/848 of the European Parliament and of the Council of 20 May 2015 on insolvency proceedings (the “Insolvency Regulation”).
On 23 December 2022, the Pre-Insolvency Act (Chapter 631 of the Laws of Malta) (“Pre-Insolvency Act”), came into force, introducing new preventive restructuring procedures. The Pre-Insolvency Act marks a significant advancement in the Maltese restructuring framework, complementing the pre-existing debt restructuring mechanisms, which include:
The voluntary dissolution of a Malta company is a significant legal process that should not be underestimated. It requires a thorough thought process, previous year compliance obligations to be met, and strict adherence to legal obligations. Failure to do so will result in serious consequences for the directors, shareholders and liquidator alike, especially if the liquidator is not vigilant in the manner in which the liquidator's role and responsibilities are carried out.
Dissolution and consequential winding up, is a critical process in the life cycle of a company, marking its transition from active business operations into a state of liquidation eventually sealed by complete closure. Under Maltese law, the dissolution of companies is primarily governed by the Companies Act (Chapter 386 of the Laws of Malta, the “Act”), which provides a structured framework to ensure that the process is conducted fairly and efficiently.
In a bid to reinforce the Capital Markets Union (the “CMU”), on the 7th December 2022 the European Commission unveiled the “Proposal for a Directive Of The European Parliament And Of The Council harmonising certain aspects of insolvency law” [1] (the “Proposed Directive”).
Why is Subsidiary Legislation 386.24 Companies Act (Suspension of Filing for Dissolution and Winding Up) Regulations (the “Regulations”) still in force?
Almost four years down the line, practitioners cannot help but question exactly why the Regulations are still in force now that most (if not all) pandemic measures have been totally lifted.
Insights
The events in the last few years have had significant and lasting impacts on business in general and restructuring in particular, with the latter referring to the various options available for firms experiencing difficulties. European economies, hit by both the upheavals caused by the health crisis and geopolitical tensions, have also been a
In the first part of this article, we dealt briefly with the European Commission’s proposals to further strengthen and ensure the proper application of the existing common framework for managing bank failures, through the publication of a proposed package amending the framework on banks’ crisis management and deposit insurance (“CMDI”) on 18 April 2023.
IAIS launches climate risk training materials for insurance supervisors
According to a press release published on April 5th, 2023, the International Association of Insurance Supervisors (IAIS) and the Financial Stability Institute jointly launched new online training materials on climate risk for insurance supervisors.