Change In Plans For The Insolvency Law

Bankruptcy what now? -The Federal Government is planning a shortening of good behaviour period in Germany towards the remaining debts worth months 6-12 in England still? Berlin, 09.06.2011 even if the number of bankruptcies due to positive economic development is currently slightly decreasing, there is according to Creditreform no good news especially for the bankruptcies. So still 13,000 business leaders and consumers face in Germany on average each month the German Insolvenzrichter.Die estimated total debt this amounted for example in March 2011 to EUR 2.4 billion (StatBA). More than 113,000 businesses are at risk of insolvency. The resulting risk of subsequent bankruptcies is not even discussed at this stage. The consequences of insolvency in Germany are usually long-term incapacity for entrepreneurs and private individuals (restricted legal capacity and Schufa entries).

The resulting burden for the social system have prompted the Federal Government to the Topic in detail to reconsider bankruptcy terms. Already several years making shorter and usually also simplified proceedings in other EU countries (England / France) possibilities legislation due to the EU. These are through different judgments of the BGH acknowledged (E.g. BGH IX ZB 51/00, as well as EU Regulation No 1364/2000). Unfortunately clouded the anticipation that such, compared, uncomplicated procedure with new legislation in Germany, would be possible. Only the period in the period of good behavior is discussed. The debtor must pass through unaltered but usually unsuccessful debt adjustment proceedings in Germany. There, until the proceedings at all is allowed years often.

This is still the record in the file of the Schufa, which represents a serious problem for the new home for many years (often 3-6 years after the bankruptcy). The thing in England, for example, behaves differently: who creates the conditions for a life in England, has the Ability to open its insolvency under English law with immediate effect (see also judgment 1383/07 High Court). This procedure leads already after a short time at the beginning of good behaviour period leading months usually after 6-12 to the remaining debts, without entry in the German register of debt. It is even possible to exercise self-employment during the period of good behavior. The fear of the step to England”is completely unfounded. Agencies such as (ABC financial concepts Ltd.) accompany the entire process. From registration to social security, health insurance, home search etc. to the interview with the bankruptcy judge every step is preplanned and supervised locally. This allows even a slew of procedures for persons without appropriate language skills. Typically, this step already from 20.000,-euro debt sum worth. The debtor should be a free consultation service, where each step is shown him. In this conversation can without risk, it be decided whether his debt situation that is suitable. Fee-based offerings will be warned. Unfortunately, many consultants have”appropriated an often superficial knowledge, with which they in Germany fees account. The candidate stood but then in England alone.

Tags: ,

Comments are closed.