Diaporama
News
You are here :
  1. Home
  2. Complex bankruptcy proceedings: the term of reasonable duration is 7 years…

Complex bankruptcy proceedings: the term of reasonable duration is 7 years…

Published on : 12/01/2024 12 January Jan 01 2024
PMT LEX

Article 2 par. 2 bis of Law 89/2001 states that the reasonable duration of bankruptcy proceedings is six years. 

The Supreme Court, by order no. 34836/2023, stated that this term may apply only in the case of bankruptcy proceedings with a single creditor or, in any event, with a limited number of creditors, with no complex litigation issues. The Supreme

Court stated that if the bankruptcy proceedings is characterized by an extraordinary complexity, the reasonable duration of
the proceedings must be ascertained in seven years. This time frame cannot, in any event, includes the time of the sales auctions, i.e. the time necessary to repeat the attempted sale that went unsuccessful due to a lack of bidders, since this is a market event beyond the control of the court.

The particular complexity of the procedure may be due to the large number of creditors, the nature or legal situation of the assets to be liquidated, the proliferation of related judgments or the plurality of interdependent insolvency proceedings. 

All these elements are to be taken into account in order to extend the not unreasonable duration of the proceedings up to a maximum of seven years for the purposes of the liquidation of the fair compensation.
 
Share on
Publish this article Share on LinkedIn Share on Facebook Send by E-mail

History

<< < 1 2 > >>
Browser not supported

The Internet Explorer browser you are currently using does not display this website correctly.

We recommend that you download and use a more recent and secure browser such as Google Chrome , Microsoft Edge , Mozilla Firefox , or Safari (for Mac) for example.
OK