Insolvencies and restructuring

Related topics

Insolvency practitioners' legal status and remuneration

This article intends to deal with the questions as raised during the discussions on the subject at the Warsaw INSOL Europe conference in May 2006...

Position of the creditor

Companies all over the world enter in financial troubles, suspension of payments or end up bankrupt. These are simple facts of economic life. If you are a creditor in insolvency proceedings in Spain, your outlook is usually not too good.

It may happen that you or the company you represent is a creditor in a Spanish moratorium of debt, bankruptcy or chapter eleven proceedings.

The case may be that your company or subsidiary is in a situation of insolvency and needs to file for either one of these proceedings.

De Haan & Mulder will find out precisely what is going on in any insolvency procedure and inform you about your chances to maximise debt recovery or explain why no recovery should be expected. If recovery of debt is possible, we will initiate all necessary legal action.

We can also file for moratorium of debt or bankruptcy if there is no other way out and/or the Spanish law obliges you to do so. Since the introduction of the new Spanish Bankruptcy Act (“Ley Concursal”) the legislation has definitely improved and has become much clearer.

Insolvency proceedings and restructuring of companies and business have always been one of the cornerstones of the practice of De Haan & Mulder.

Members of De Haan & Mulder have been appointed various times as trustees of bankrupt Spanish companies and know all the ins and outs of that practice. They are also members of the European association of insolvency lawyers “Insol Europe”,(www.insol-europe.org).

Any foreign entrepreneur or company whose Spanish subsidiary has run into financial trouble and wants to cut losses, is recommended to contact us we can advise you on all options under Spanish law and in Spanish practice.