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Insolvency & Restructuring

08 February 2019
Bart Heynickx Is ECJ jurisprudence torpedoing Belgian insolvency law?

Belgium - ALTIUS

The European Court of Justice appears likely to rule that the Belgian reorganisation framework infringes the EU Transfer of Undertakings Directive with regard to the transfer of personnel. If the option to transfer only a portion of staff is no longer available in Belgian reorganisation proceedings, companies will have no choice but to formally file for bankruptcy, which is exactly the issue that the legislature and the labour unions had hoped to avoid when introducing this mechanism into Belgian law.

Author: Bart Heynickx
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