A guide to cross-border insolvencies

his article was first published by The Gazette on 28 January 2015, the full article can be found online here.

Imagine that you run a business supplying mobile phones to an international market.

ABC & Co (ABC) is a Romanian customer with a registered office in Bucharest, but which also has a number of warehouses in England, Wales and the US. You supplied stock worth £500,000 to ABC, but it is in financial difficulty, and has entered an insolvency proceeding in Romania.

Which rules govern how your debt will be dealt with?

 

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