Insolvency Blog - International Insolvency
News from the INSOL Europe Annual Congress in Brussels
Date: 12th October, 2012 | Author: Chris Laughton | Comments: 1
In a packed break-out session – standing room only! – INSOL Europe’s Turnaround Wing (which I co-chair) discussed the Mexican stand-off: forcing consensual restructuring solutions on stakeholders. The oxymoronic phrase highlights the challenges of operating in the twilight zone between severe distress and formal insolvency. The key points highlighted were: Whether the impact of insolvency is clear or, as in some jurisdictions, ill-defined, insolvency is a threat that promotes consensus through fear of the unknown or the unacceptable. Valuations bring clarity, but will be tempered by issues that can be identified in the legal documentation. Cultural effects may...
Mercer & Hole’s strategy approved at creditors’ meeting for fitness shoe brand
Date: 17th July, 2012 | Author: Maria Bailey | Comments: 0
Creditors collectively approved Mercer & Hole’s strategy for the administration of Masai GB Limited at yesterday’s creditors meeting. Chris Laughton and Peter Godfrey-Evans of Mercer & Hole had been appointed in May 2012 as joint administrators of the UK distributor for the high-street shoe brand MBT with stores and concessions throughout the UK. The administrators had the company continue to trade for as long as stocks were available and costs could be controlled tightly. The result was 2 months of profitable trading, during which some of the 53-strong workforce could continue to be employed. The prospects for...
Summary of ‘European Insolvency Regulation Debate’ at The Supreme Court
Date: 9th July, 2012 | Author: Chris Laughton | Comments: 0
Motion defeated – the message was clear, let the UK get on with getting it right Conflicting views and passionate discussions marked INSOL Europe’s debate on the European Insolvency Regulation at the UK’s Supreme Court on Friday 6 July 2012, chaired by Chris Laughton, a restructuring and insolvency partner at Mercer & Hole, Chartered Accountants, which concluded that “if it ain’t broke, don’t fix it”. Over 50 leading insolvency experts from the UK and a variety of other European countries participated in the debate. INSOL Europe’s proposals for significant...
Supreme Court Debate on the European Insolvency Regulation
Date: 6th July, 2012 | Author: Chris Laughton | Comments: 0
Chairing a debate in the Supreme Court on INSOL Europe’s proposals to the European Commission about revision of the European Insolvency Regulation should liven up my Friday afternoon! Robert van Galen and David Marks QC are to propose the motion “This House believes that detailed substantive and technical changes to the European Insolvency Regulation, as proposed by INSOL Europe, are now required”. They will be opposed by Gabriel Moss QC and Felicity Toube QC. An invited audience from the profession, press, judiciary, legislature and regulators, as well as academia, will determine the winners! The principal areas...
TUPE damages employees’ and the UK’s interests
Date: 13th April, 2012 | Author: Chris Laughton | Comments: 0
The Transfer of Undertakings (Protection of Employees) legislation is so restrictive that business value (and hence employees' interests as creditors), businesses' ability to continue (ie jobs) and opportunities to undertake international restructurings in the UK using administration are all suffering. I am writing from an AIJA (International Association of Young Lawyers) conference in Prague, where I have been speaking and am representing INSOL Europe. Discussions over the last 24 hours both on and off the platform have highlighted to me that the UK's implementation of the EC Acquired Rights Directive is so flawed as to not only render the UK...
News from Venice - INSOL Europe
Date: 23rd September, 2011 | Author: Costas Pavlou | Comments: 0
Luca Cordero di Montezemolo, Chairman of Ferrari, today graphically described the strengths of Italian industry in terms of its people and their passion. Likening a Ferrari to a beautiful woman, he also said that German cars are great - like a freezer - good, efficient engineering! In a keynote address celebrating INSOL Europe's 30th anniversary, he noted that Ferrari had undergone a variety of restructurings in the 60 years since it first won the British Grand Prix at Silverstone, as it did again in 2011. Clearly proud of his company's European Workplace of the Year award in 2007, he...
INSOL Europe’s 30th anniversary conference - Venice
Date: 21st September, 2011 | Author: Costas Pavlou | Comments: 0
Mercer & Hole's Chris Laughton is in Venice hosting this morning's INSOL Europe's Annual Congress 2011. Here's what Chris is expecting over the next couple of days. "My final job as President of INSOL Europe is to host this year's conference in Venice. The last few days of preparations have been busy, but have brought home just how much has gone on. I can't pre-empt conference announcements, but to touch on some highlights: the European Insolvency Case Register is launching; a number of serious academic initiatives are to be announced; detailed and learned submissions on proposed changes to the European...
Britain a “bankruptcy brothel” says Wind Hellas pre-pack creditor
Date: 8th March, 2010 | Author: Chris Laughton | Comments: 0
The restructuring of Wind Hellas, a Greek telecoms company, has prompted the Sunday Times to repeat a claim by Bertrand des Pallières, of hedge fund SPQR Capital, that Britain is becoming a bankruptcy brothel. In this high profile example of aggrieved creditors misconstruing that it is the procedure involved rather than the underlying business failure that causes loss in insolvencies, jurisdiction shopping and bankruptcy tourism have been joined by a more colourful phrase! Not only was the Centre of Main Interests (COMI) of the relevant Wind Hellas company moved to England from Luxembourg (ie 1300 miles away from Greece...
Sir Allen Stanford - US receiver defeated on COMI
Date: 8th July, 2009 | Author: Chris Laughton | Comments: 0
The controversy surrounding Sir Allen Stanford has reached the Royal Courts of Justice. Both the Antiguan liquidator of Stanford International Bank Limited and the US receiver appointed over its assets sought recognition in the UK under The Cross Border Insolvency Regulations 2006. Both sought to be recognised as the foreign representative in foreign main proceedings. Lewison J noted on 3 July 2009 that “the apparent lack of co-operation between them has resulted in an expensive application at the creditors’ expense.” The judgement makes clear that The Cross Border Insolvency Regulations 2006, which were of course founded on the UNCITRAL...
Netherlands insolvency increase
Date: 5th September, 2008 | Author: Chris Laughton | Comments: 0
The credit crunch is hitting mainland Europe, raising insolvency rates, according to Legal Week's recent article NautaDutilh launches 20-strong Benelux team. Most UK insolvency practitioners felt the economy starting to bite in midsummer and all the signs here are that, despite the oil price receding, corporate insolvency will loom for many this autumn. For some thoughts on avoiding insolvency, try our earlier post Find a Business Angel. ...
