Amendments to the EC Insolvency Regulation

EUROPEAN COMMISSION
Strasbourg, 12.12.2012
COM(2012) 744 final
2012/0360 (COD)

Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL amending Council Regulation (EC) No 1346/2000 on insolvency proceedings

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Some interesting quotes from the text:

A new recital 12a is inserted:

(12a) Before opening insolvency proceedings, the competent court should examine ex officio whether the debtor’s centre of main interests or establishment is actually located within its jurisdiction. Where the circumstances of the case give rise to doubts about the court’s jurisdiction, the court should require the debtor to submit additional evidence to support his assertions and, where appropriate, give the debtor’s creditors the opportunity to present their views on the question of jurisdiction. In addition, creditors should have an effective remedy against the decision opening insolvency proceedings.

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The following recital 29a is inserted:

(29a) In order to improve the information of creditors and courts involved and to prevent the opening of parallel insolvency proceedings, Member States should be required to publish relevant information in cross-border insolvency cases in a publicly accessible electronic register. In order to facilitate access to that information for creditors and courts domiciled or located in other Member States, this Regulation should provide for the interconnection of insolvency registers.

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In Article 3, paragraphs 1 and 3 are replaced by the following:


In the case of an individual exercising an independent business or professional activity, the centre of main interests shall be that individual’s principal place of business; in the case of any other individual, the centre of main interests shall be the place of the individual’s habitual residence.

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Article 3b
Examination as to jurisdiction; right to judicial review


3. Any creditor or interested party who has his habitual residence, domicile or registered office in a Member State other than the State of the opening of proceedings, shall have the right to challenge the decision opening main proceedings. The court opening main proceedings or the liquidator shall inform such creditors insofar as they are known of the decision in due time in order to enable them to challenge it.

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Article 25 is replaced by the following:
Recognition and enforceability of other judgments

1. Judgments handed down by a court whose judgment concerning the opening of proceedings is recognised in accordance with Article 16 and which concern the course and closure of insolvency proceedings, and compositions approved by that court shall also be recognised with no further formalities. Such judgments shall be enforced in accordance with Articles 32 to 56, with the exception of Article 34(2), Regulation (EC) No 44/2001.
The first subparagraph shall also apply to judgments deriving directly from the insolvency proceedings and which are closely linked with them, even if they were handed down by another court.
The first subparagraph shall also apply to judgments relating to preservation measures taken after the request for the opening of insolvency proceedings or in connection with it.
2. The recognition and enforcement of judgments other than those referred to in paragraph 1 shall be governed by the Regulation referred to in paragraph 1 provided that the Regulation is applicable.

EUROPEAN COMMISSION

Strasbourg, 12.12.2012

COM(2012) 744 final

2012/0360 (COD)