Business Insolvency (Communication)
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Single Market & Competition

Business Insolvency (Communication)

The Commission is considering a partial harmonisation of the insolvency law of the Member States. This is intended to facilitate the reorganisation rather than liquidation of businesses and provide entrepreneurs with a "second chance".

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Insolvency rules which focus on maintaining and restructuring insolvent businesses can contribute to greater prosperity in the economy. The distinction between "honest" and "dishonest" failure is of little use without further clarification. A reduction in the discharge period is two-edged: it enables failed entrepreneurs to restart more quickly but increases the risks for creditors.

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Business Insolvency COM(2012) 742 (publ. 05.08.2014) PDF 92 KB Download
Business Insolvency COM(2012) 742