Europe: Insolvency/Bankruptcy/Re-Structuring

Directors of insolvent companies may face misfeasance claims when liquidators or administrators investigate potential misuse of company funds, breaches of fiduciary duties, or prioritizing personal interests over creditors. Understanding the legal framework under section 212 of the Insolvency Act 1986, common allegations, and available defenses is crucial for directors navigating these serious investigations that can result in personal liability and disqualification.

The Court of Appeal has ruled on a critical jurisdictional question affecting civil fraud and asset recovery practitioners: whether judgment creditors can serve stand-alone worldwide freezing orders on third parties abroad under section 37(1) of the Senior Courts Act 1981. In Gilbert v Broadoak Private Finance Ltd, the court examined the scope of jurisdictional gateways and their application to Chabra respondents located overseas, with significant implications for cross-border enforcement proceedings.

Swiss law generally maintains a strict separation between a company's assets and those of its shareholders, but courts may exceptionally disregard this principle when it constitutes an abuse of rights. This analysis explores the legal framework and practical requirements for both piercing and reverse piercing the corporate veil in Switzerland, with particular emphasis on how these doctrines apply in debt enforcement and attachment proceedings.

Macfarlanes and PwC explore the evolving opportunistic credit market, examining how investors navigate competitive financing landscapes, identify investable opportunities amid sector-specific stress, and deploy sophisticated structuring tools to protect downside risk. The discussion reveals critical insights on pricing discipline, early intervention strategies, and the expanding toolkit available to credit investors managing complex situations.

Stefan van Wijk of BUREN has been appointed administrator following the bankruptcy of six Dutch companies operating under the Hortilux and Agrilight brands, which manufacture lighting installations for greenhouse horticulture and livestock housing. With over ten parties already expressing interest and intensive restart efforts underway, the administrator is preparing an information memorandum to facilitate potential acquisitions while maintaining operations in the interim.

Capital Solutions has emerged as a distinct discipline in private capital markets, occupying the space between traditional senior secured debt and common equity. This article explores why this gap has widened in recent years, examining the structural forces driving demand for bespoke financing instruments that are neither pure debt nor dilutive equity.