The Impact of Recast Law on Insolvency on Cross-Border Litigation by National Insolvency Practitioners: An Actio Pauliana Case Study

Abstract

CC BY-NC 4.0 ; Purpose – The purpose of this article is to analyze the impact of the new recast Law on Insolvency of Legal Persons of the Republic of Lithuania (hereinafter – Law on Insolvency) on cross border litigation by national insolvency practitioners. Jurisdiction of claims filed by insolvency practitioners is a delicate matter, often giving rise to disputes whether the courts' jurisdiction should be based on Regulation (EU) No 1215/2012 of the European Parliament and of the Council of December 12 2012 on jurisdiction and the recognition and enforcement of judgments in civil and commercial matters (hereafter – Brussels Ibis regulation) or Regulation (EU) 2015/848 of the European Parliament and of the Council of May 20 2015 on insolvency proceedings (hereafter – Insolvency Regulation). In insolvency related matters, national regulation and its implementation are very important for demarcation between Insolvency Regulation and Brussels Ibis regulation. Thus, this article will provide some insights on whether the new recast Law on Insolvency addressed the issues insolvency practitioners continue to face when suing persons domiciled in another member state.