Entries by Insolvency Law

Duties and Liabilities of Directors in Insolvency Proceedings in Spain

During times of crisis, where there is no chance of refinancing a company’s debt, the board of directors must initiate insolvency proceedings. We are going to focus on the duties of directors of an insolvent company. Directors of a company have a duty to act with honesty, diligence and prudence, the so-called duty of care. Directors will be held […]

Modification of the bankruptcy proceedings in Spain

The Council of Ministers has passed the draft of a new law modifying the current law on insolvency proceedings in Spain. The law has already been modified by Royal Decree 3/2009 dated March 27th, 2009which implemented some urgent measures regarding the tax and financial aspects of insolvency proceedings. The amendments have attempted to speed up such proceedings and […]

Impact of company abandonment in Spain on the system of managerial liability

PDF Eurofenix Autumn 2010 – Company Abandonment in Spain The Spanish legal system provides certain protections for creditors of companies that have in fact ended their commercial trading. These companies have been abandoned by their partners and managers, rendering them inactive, yet they have not dissolved and liquidated pursuant to the established processes established by […]