Issue № 37. April 2013

Some Thoughts on International Insolvency Law Evolution as a Tool for a Sustainable Economic Growth

Information Processing Centre, Poland.
E-mail: l.lai@wpia.uw.edu.pl

This paper tries to emphasize how international insolvency law and national insolvency law have changed. Analyzing recent insolvency law development it is possible to discover new tendencies: Insolvency law aside being envisaged as a tool for compensating creditors’ interests, now it is arising as an instrument for rescuing companies. In these recent years we have seen how healthy companies risked bankruptcy just because they were passing by a period of liquidity’s shortage; nevertheless those companies were healthy and they had to front a moment crisis just due to payments delay made by clients. In this article a very important concept “the company intrinsic value” is introduced. This article aims to demonstrate that alongside insolvency aggressive function; there are as well the restructuring and turnaround function, which are progressively becoming very relevant.

Keywords

Insolvency, bankruptcy, turnaround, company intrinsic value, international insolvency law, European Union countries.