Amending regulation (EC) NO.1346/2000 on insolvency proceedings - Solving deficiencies or attempt to rescue companies in difficulty?

Author:Gabriela Fierbinteanu
Position:PhD Candidate, research assistant, Faculty of Law, 'Nicolae Titulescu' University, Bucharest
Pages:7-14
SUMMARY

EC Insolvency Regulation claims, after more than 10 years, several changes imposed by some of the issues raised by the practice of its application but also by the need to promote economic recovery for enterprises in difficulty in the current economic crisis. This paper analyzes the major segments of change and aims to determine whether these segments provide a coherent answer for the practical... (see full summary)

 
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LESIJ NO. XX, VOL. 2/2013
AMENDING REGULATION (EC) NO.1346/2000 ON INSOLVENCY
PROCEEDINGS - SOLVING DEFICIENCIES OR ATTEMPT TO
RESCUE COMPANIES IN DIFFICULTY?
Gabriela FIERBINEANU
Abstract
EC Insolvency Regulation claims, after more tha n 10 years, several changes imposed by some of the
issues raised by the practice of its application but also b y the need to p romote economic recovery for
enterprises in difficulty in the current economic crisis.
This paper analyzes the major segments of change a nd aims to determine whether thes e segments
provide a coherent answer for the practica l difficulties faced by the EC Regulation and whether extending its
scope by revising the definition of insolvency pr oceedings may offer better c hances of recovery for the
enterprises in difficulty.
Keywords: scope, insolvency pr oceedings, COMI, procedures publica tion, groups of
companies.
Introduction
Regulation no.1346/2000 on insolvency proceedings is no longer a subject of curiosity or
debate. It passed this phase lo ng ago during the years of application. The problems raised by the
practice during those years are not some abstract scientific notes but real questions having roots
in the economic reality.
The actual need to rescue enterprises during the current economic crisis claimed a new
approach of the Regulation and for this purpose, all existing debates generated mature ideas for
changing the face of the Regulation. As professor Űob Wessels observed in his article “Revision
of the EU Insolvency Regulation: What type of facelift?”
1, “The regulation has laid a basis for
cross-border insolvency solutions. Some parts in th e basis should be renewed, other parts should
be added to create a European house in which one can live with some comfort”.
This paper analyses the major segments of change by comparison with initial recitals and
aims to determine whether these segments provide a coherent answer for the practical difficulties
faced by the EC Regulation and whether extending its scope by revising the definition of
insolvency proceedings may offer better chances of recovery for the enterprises in difficulty.
The offer of the Regulation no 1346/2000 on insolvency proceedings
The Insolvency Regulation is the product of a hard and long negotiation process having in
mind that a body of substantive insolvency Law at EU level is not possible to be achieved because
of so many disparities between national insolvency laws. This reality was acknowledged also in
the eleven Recital of the Regulation, being also the reason for not forcing the obvious truth by
trying to introduce insolvency proceedings with universal scope in the entire Community.
PhD Candidate, research assistant, Faculty of Law, “Nicolae Titulescu” University, Ű ucharest; Chief
of Insolvency Service, Trade Register Office Bucharest (e-mail: gabriela.fierbinteanu@gmail.com).
1 Wessels Űob, “Revision of the EU Insolvency Regulation: What type of facelift?”, article presented at
the űonference “The future of the European Insolvency Regulation”, 28 April 2011, Amsterdam, available at
www.eir-reform.eu.

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