Lex concursus meaning

Applicable law for directors' duties Post Brexit, in those Member States to which Regulation (EU) 2015/848 (OJ L141 5.6.2015 p 19), the Recast Regulation on Insolvency [EU Recast Regulation on Insolvency], applies, the long-standing assumption that a company’s registered office reflects its centre of main interests (COMI) can be displaced in practice, in reality. In such circumstances, the duties of that company’s directors may fall to be determined by the applicable law under the EU Recast Regulation on Insolvency (ie the law of the lex concursus; where main proceedings are opened) rather than the domestic law of the country of the registered office, which they are likely to be more familiar with. Accordingly, it is crucial to recognise the differing duties and standards that operate across Europe (see Practice Note: Table comparing European directors’ duties)...

This glossary sets out numerous expressions regularly encountered in the restructuring & insolvency sphere. Words shown in bold within definitions are themselves explained in other entries in this glossary as well. A Article X The MLIJ contains a single provision named Article X, aimed at jurisdictions that have already implemented the MLCBI, like England, or are weighing its adoption. Article X states: ‘Not withstanding any prior interpretation to the contrary, the relief available under [insert a cross-reference to the legislation of this State enacting Article 21 of the UNCITRAL Model Law on Cross-Border Insolvency] includes recognition and enforcement of a judgment’ (see Practice Note: UNCITRAL model law on recognition and enforcement of insolvency-related judgments (MLIJ): Article X). Asset-backed security (ABS) A form of security anchored by asset pools, for example loans, leases, and credit card receivables. Assimilated law From 1 January 2024, ‘retained law’ has been retitled ‘assimilated law’. The body of domestic law originally arising from EU obligations, created by the European...

UK status Since 31 January 2020 (exit day), the UK has not been an EU Member State. Under the Withdrawal Agreement there followed an implementation period during which EU law still applied to the UK. From 1 January 2021, however, the key operative elements of Regulation (EU) 2015/848 (OJ L141 5.6.2015 p 19), the Recast Regulation on Insolvency, concerning automatic recognition, ceased to apply in the UK (see Practice Note: Brexit—impact on Recast Regulation on Insolvency [Archived]). Other Member States nevertheless continue to apply the EU Recast Regulation on Insolvency when its conditions are met, and this note considers how it functions between Member States. EU Recast Regulation on Insolvency The EU Recast Regulation on Insolvency introduced substantial changes to the EC Regulation on Insolvency, Regulation (EC) 1346/2000 (EC Regulation on Insolvency). For the full text of the EU Recast Regulation on Insolvency, click here. Although it came into force on 26 June 2015, most provisions only became effective from 26 June 2017 onwards, allowing Member States...