Spain’s current legislation is inadequate at helping businesses to prevent insolvency with the result that most distressed companies turn to informal proceedings instead. Antonio Fernandez and Juan Verdugo report
The approval of the Concurso Law (Ley Concursal) in Spain on 9 July, 2003 was the realisation of a long sought-after aspiration in Spanish property law – namely the reform of the legal instruments for dealing with distressed businesses. Today, only a few years later, day-to-day practice shows that some of the old problems are resurfacing.
