Far-reaching changes in insolvency law including pre-insolvency restructuring proceedings to be implemented as early as January 2021
Against the background of the persisting COVID-19 pandemic, the German Federal Ministry of Justice (BMJV) presented a far-reaching draft bill. With effect from January 1, 2021, a pre-insolvency restructuring procedure is to be introduced to... read more
Extension of the suspension of the obligation to file for insolvency: Valerian for those affected?
As the coalition committee of the Federal Government decided on Monday, 25th August 2020, the regulation on the suspension of the obligation to file for insolvency is to be extended. Nevertheless: this autumn could be extremely unpleasant not... read more
Newsletter – Commercial Tenancy Law, Data Protection, SanInsFoG
- Author: PASCHEN Rechtsanwälte
- Source: ServiCon Anwaltsnetz
Sachverständigen Stellungnahme zum SanInsFoG
- Author: RA Lutz Paschen
- Source: Bundestagsausschuss für Recht und Verbraucherschutz - Öffentliche Anhörung zum SanInsFoG
Deutscher Bundestag, Paul-Löbe-Haus (PLH), Konrad-Adenauer-Str. 1 (gegenüber Bundeskanzleramt)
Deutscher Bundestag Ausschuss für Recht und Verbraucherschutz
In light of the current crisis, the German government has introduced a draft law on the further development of restructuring and insolvency law (Sanierungs-und Insolvenzrechtfortentwicklungsgesetz – SanInsFog) in the Bundestag. In addition to the numerous changes to insolvency law, the law also provides for the timely introduction of pre-insolvency restructuring proceedings to implement the EU Restructuring Directive.
The first reading in the Bundestag will take place on the 18th of November 2020. The Committee on Legal Affairs and Consumer Protection has been invited to the public hearing on the 25th of November 2020 at 11.00 am.
The German legislator passed the Act on the Further Development of Restructuring and Insolvency Law (SanInsFoG) at record speed and fundamentally reformed the German insolvency and restructuring law. A large part of the new regulations already came into force on January 1, 2021.
In a webinar on February 11, the Gesamtverband textil+mode will provide information on the new stabilization and restructuring framework and explain what innovations textile and fashion companies will face. Speaker is our founding partner RA Lutz Paschen, who was also invited as an expert at the hearing in the legal committee of the Bundestag on the new law.
DEUTSCHE KONGRESS GmbH
The Act on the Stabilization and Restructuring Framework for Companies (StaRUG) in the newly adopted Act on the Further Development of Restructuring and Insolvency Law (SanInsFog) have priority and can be found there under Article 1, which creates a formal procedure for pre-insolvency restructuring for the first time. The amendments to the Insolvency Act made in Article 5 SanInsFoG implement the results of the ESUG evaluation legally and the amendments to COVInsAG regulated in Article 10 SanInsFoG introduce special temporary insolvency law provisions to deal with the economic consequences of the Corona pandemic in 2021.
In particular, the webinar will cover the following topics:
- Overview of the main innovations
- Procedure of pre-insolvency reorganization according to StaRUG
- Restructuring moderation according to §§ 94 ff. StaRUG
- How to be overruled as a creditor (so-called cram-down)
- What creditors should do who are affected by a stabilization arrangement
- How restructuring creditors should prevent the risk of avoidance at a later date
- How the amendments to COVInsAG will affect insolvency proceedings filed in 2021
Courtyard Hannover Maschsee
Neue DEUTSCHE KONGRESS GmbH
This seminar looks at insolvency proceedings from the creditor’s perspective. Topics include: How to identify and avoid insolvency at an early stage; what insolvency avoidance is; and how to limit the risk of avoidance. Special attention will be paid not only to the reform of avoidance law in 2017 but also to the regulations of the COVID-19-Insolvency Suspension Act COVInsAG and the resulting special features that deal with defaulting debtors in the current crisis.
- The course of insolvency proceedings and economic interrelationships.
- Insolvency plan proceedings / protective shield proceedings Powers/liability of the parties involved
- Special features of self-administration Creditors’ participation rights
- Business with companies in preliminary insolvency proceedings
- Avoidance of insolvency proceedings and its avoidance / using the opportunities offered by the reform of the right of avoidance / the COVInsAG
- The assertion of security interests and counterclaims
- 20th August 2020 in Cologne
- 30th September 2020 in Frankfurt/Main
- 8th December 2020 in Hannover
Learn more on our Interview with the seminar leader RA Lutz Paschen.
InterCityHotel Frankfurt Airport
Am Luftbrückendenkmal 1
Neue DEUTSCHE KONGRESS GmbH
The 12th Receivable- and Risk management Days (B2C) will address receivables management, risk management and debtor management. The planned speakers will give us an insight into their everyday professional lives and explain the opportunities and possibilities in risk control and digital processes.
RA Lutz Paschen is one of the top-class speakers at this event. His topic is the EU Restructuring Directive, which came into force on the 16th of July 2019. Most of the regulations must be transposed into national law within two years. First and foremost, the deadline for the discharge of residual debt will be significantly shortened. Also, a pre-insolvency restructuring procedure will be introduced and insolvency proceedings modernised. The presentation on these topics will show how receivables management will be affected by these changes.
- 12th March 2021 in Berlin
- 12th November 2021 in Frankfurt/ Main
- 17th November 2021 in Munich
COVID-19 Pandemic Act COVInsAG: Insolvency law consequences of the crisis for creditors
One of the most important parts of the COVID-19 pandemic law, which was hastily enacted by the legislator in March, is the regulations it contains for the temporary modification of insolvency law. The COVID-19 Insolvency Suspension Act COVInsAG,... read more
Pre-insolvency restructuring proceedings: The implementation of the EU Restructuring Directive into national law
Against the background of the still subdued economic development in a large number of member states, the European Commission presented a proposal for a DIRECTIVE OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on preventive restructuring... read more
Avoidance of transactions in insolvency proceedings: First results of legal reform
In recent years, the German Federal Court of Justice’s judicature on the so-called pre-emptive action of wilfully disadvantageous transactions according to sect. 133 of the German Insolvency Act (InsO) was completely out of hand. Granting... read more
Insolvenzverfahren aus Gläubigersicht – Das Interview zum Seminar
Das Seminar Insolvenzverfahren aus Gläubigersicht am 20. August 2020 beleuchtet das Insolvenzverfahren aus der Perspektive des Gläubigers. Worum es in dem Seminar konkret geht und wieso sich ein Besuch auf jeden Fall lohnt, erfahren Sie im Interview mit RA Lutz Paschen, der gemeinsam mit RA Michael Schmidt das Seminar leitet. Weitere Informatio ...
to the video
Erste Online-Gerichtsverhandlung für PASCHEN Rechtsanwälte
Rechtsanwältin Anja Beyer hatte als erste aus unserem Team die Gelegenheit, an einer Gerichtsverhandlung digital teilzunehmen - für uns eine lang erhoffte Premiere.
to the video
Webinar: Insolvency Proceedings in Germany
In this FCIB webinar, German attorney at law Lutz Paschen explains the ins and outs of what occurs before, during and after an insolvency occurs in Germany. The webinar includes a basic run through German insolvency procedures.
Get access to the webinar here
Article by JUVE on Global Wind Power defence against 50 million lawsuit with PASCHEN’s support
In an article dated 20 September 2019 Juve reports on PASCHEN´s successful defence against a 50 million Euro judgement against Indian wind turbine manufacturer Global Wind Power Limited. The Higher Regional Court of Cologne has confirmed an earlier ruling of the Regional Court rejecting the lawsuit after the same court had issued a default judgement in favor of the insolvency administrator of wind turbine manufacturer FUHRLÄNDER AG. With its ruling of 1 July 2019 the court followed PASCHEN’s line of arguments claiming the earlier default judgement from 2017 in favour of the insolvency administrator of Fuhrländer AG to be unlawful. Read more here and here.
Article Badische Zeitung
Das Handelsblatt berichtet in seiner Ausgabe vom 13. März 2017 über ein von PASCHEN in einer Anfechtungssache betreutes Unternehmen: Das Aufforderungsschreiben des Verwalters umfasste 65 Seiten und 1000 Seiten Anlagen. RA Baumeister gelang es aber schließlich, die ursprünglich geforderten 155.000 Euro dramatisch herunter zu verhandeln: „Man einigte sich auf 10.000 Euro, um einen Prozess zu vermeiden.“ Zum vollständigen Artikel gelangen Sie hier.