Recognition of UK insolvencies in Europe after Brexit[1] is navigating uncertain waters. Following the completion of Brexit, the UK has left parts of the EU's private international law realm, including the application of Regulation (EC) 1346/2000 on Insolvency proceedings (the EU Insolvency Regulation). Therefore, since January this year, any reciprocal statutory cooperation in insolvency law matters between the UK and the EU has ceased.
While the recent Brexit trade deal contains various provisions for the conduct of trade in the post-Brexit era, it does not provide clarification for new cross-border insolvency proceedings involving the United Kingdom.
However, the Withdrawal Agreement which came into force on 1 February 2020 and established the terms of the UK's withdrawal from the European Union, does provide some comfort for insolvency practitioners, but only where insolvency proceedings were opened prior to the end of the Brexit transition period.
Before we kick things off, all of the Business Support and Insolvency Team here at Boyes Turner would like to wish all of you a very Happy New Year.
There were big changes in 2020 in the world of restructuring and insolvency legislation with the introduction of two new restructuring tools: the Moratorium and the Restructuring Plan, as well as the reintroduction of Crown preference.
While the dust settles, and lawyers on both sides of The Channel scrutinise the UK-EU trade deal and consider the many legal issues not covered by the accord, The Netherlands is taking steps to assert itself as the most attractive restructuring market in Europe.
Pensions in Restructuring Survey Report
January 2021
2020 might provide answers to many political and economic issues, but it is not possible to see with perfect vision what the future holds for pensions in restructuring matters.
That was part of the conclusion to the
report on Taylor Wessing's previous
Pensions in Restructuring Survey; with
hindsight, 2020 brought few answers
and posed many questions.
Pensions In Restructuring Survey Report
Welcome to the results of Taylor Wessing's fifth annual Pensions in Restructuring Survey
Some private providers may face pressure in coming months, now that the temporary changes to insolvent trading laws and the statutory demand regime have come to an end. This may particularly be the case if challenges to the international student regime continue.
Key takeouts
At 11pm on 31 December 2020, the UK-EU Trade and Cooperation Agreement (TCA) came into effect implementing the UK’s exit from the single market. The TCA covers some important things in great detail and some things more scantly. Unfortunately for insolvency practitioners, it is largely silent on almost all issues relating to insolvency, meaning that, despite not technically having a ‘no-deal’ Brexit, for insolvency practitioners it may certainly feel that way.
Recognition of insolvency proceedings
On December 24, 2020, the European Union (EU) and the United Kingdom (UK) unveiled a Trade and Cooperation Agreement (TCA) establishing the broad relationship between them after the end of the Brexit transition period on December 31, 2020, with a particular focus on international trade, investment, public policy, and economic partnership between EU Member States and the UK.