On 1 September, 2004, the new Spanish Insolvency Act came into effect for the purpose of regulating situations of economic crisis and insolvency. The new Act repealed the legislation that had been in force up until that time – legislation that suffered serious defects. It was archaic, out of step with the social and economic reality of our times, diverse and lacking any type of harmonious system. In it, certain specific interests prevailed over other, more general, ones, and over the principle of equal treatment of creditors.
On this same date, the mercantile tribunals became operational, constituting a new specialised jurisdictional order. These were attributed exclusive jurisdiction with regard to insolvency and a series of related matters deemed to be especially significant for the debtor’s assets – for instance, all foreclosures and precautionary measures that may be adopted by any jurisdictional or administrative organs in regard to the assets of the insolvent party. In addition they govern labour issues that are understood to affect the assets of the insolvent party and therefore as being a matter to be resolved in relation thereto.
