Company claims for undue payments

Company claims for Undue Payments to Workers

The basis to claim an undue payment appears in articles 1895 and 1901 of the Spanish Civil Code and resides in the legal obligation between a person who receives what he/she is not entitled to and the entity that makes the payment by mistake.

Corporate crimes

Corporate crimes in Spain

The growing relevance of companies, their partners, and administrators as economic actors has also introduced the proliferation of corporate crimes such as false accounting, abusive and harmful agreements, or the denial of corporate rights.

Non-refundable contributions by shareholders

Non-refundable Contributions by Shareholders in Spain

Non-refundable contributions are an effective and immediate mechanism for injecting funds into a company. Its purpose may be to solve the company’s financial imbalance, provide liquidity to the company or undertake a specific project. Unlike capital increases, non-refundable contributions do not require formalization in a public deed, nor registration with the Commercial Registry.

The new Insolvency Law – RDL 12020 – RDL 1-2020

Informative Note: The new Insolvency Law (RDL 1/2020)

In the following informative note, we address the Royal Legislative Decree 1/2020, of 5 May, that approves the redrafted text of the Insolvency Law, and revises its structure and key characteristics.

The arbitration clause in business contracts

The use of an arbitration clause in business contracts

The arbitration clause allows the parties to the contract to submit disputes arising from the contract to an arbitration court. To be valid, the clause must meet several requirements and its utility should be determined by balancing its advantages with its disadvantages.

How to determine the insolvency status of the company

How to determine the insolvency status of the company in the insolvency proceedings

The state of insolvency obliges companies to apply for the insolvency proceedings. We analyse some facts that can help to identify this status, as well as the most commonly used accounting formulas to predict it: the acid test and the Altman Z-score.

How to apply for bankruptcy in Spain

How to apply for bankruptcy in Spain: Basic aspects and Deadlines

The Bankruptcy Law in Spain regulates the basic aspects and the deadlines within which companies should apply for bankruptcy when their situation does not allow them to fulfil their payment obligations on a regular basis.

Liability for transfer of undertaking

Liability for transfer of undertaking in insolvency proceedings

We analyze the numerous judgements of the High Court regarding the existence or not of transfer of undertaking when a company acquires a productive unit of another company in the liquidation phase of the insolvency proceedings.

Express insolvency proceedings in Spain

Express Insolvency Proceedings: an alternative for companies without assets

In Spain, the Insolvency Law provides for the processing of express insolvency proceedings for those companies with no assets nor properties (or that are of a residual nature), with the corresponding savings in time and costs that ordinary insolvency proceedings would normally entail.

Insolvency proceeding or company liquidation?

Insolvency Proceeding versus Company Liquidation

In times of crisis, companies may find themselves in a legal cause for dissolution. In this article, we analyse when they should initiate a bankruptcy proceeding and when they should opt for the dissolution and liquidation of the company.