Europe: Insolvency/Bankruptcy/Re-Structuring

Turkish bankruptcy law provides a collective enforcement mechanism for liquidating a debtor's assets among creditors based on equality principles. While bankruptcy postponement was abolished in 2018...

The Swiss Parliament has enacted two major reforms to the Federal Debt Enforcement and Bankruptcy Act, ushering in a new era of digitalization and creating Switzerland's first dedicated debt restructuring mechanisms for private individuals. These changes introduce electronic debt enforcement registers, online auctions, and the possibility of residual debt discharge, fundamentally transforming Swiss insolvency law for creditors, debtors, and practitioners alike.

Companies facing financial distress must carefully evaluate their restructuring options, with protective shield proceedings offering a unique opportunity to prepare an insolvency plan while maintaining existing management. This specialized form of preliminary self-administration requires precise timing and thorough preparation, as it is only available when a company faces imminent illiquidity or over-indebtedness but has not yet become actually illiquid.

Turkish bankruptcy law provides a collective enforcement mechanism for liquidating a debtor's assets among creditors based on equality principles. While bankruptcy postponement was abolished in 2018...

When joint special administrators failed to return client assets for over four and a half years after an investment bank entered special administration, the UK High Court delivered two unprecedented judgments. The court ordered an interim distribution of over £11 million and made a landmark costs ruling that stripped the administrators of any right to recoup their costs from client assets, holding them personally liable instead.

The Commercial Court has refused to continue proprietary injunctions against investors who received payments from collapsed UK bridging lender Market Financial Solutions (MFS) before its administration. The court found that investors whose investments were returned before the collapse were bona fide purchasers for value without notice, allowing them to take the monies free of any trust despite MFS's alleged misappropriation of funds intended for mortgage loan origination.