Economic Rationale behind the Evolution of the Slovak Insolvency Law
|Author:||Mgr. Pavel Hrnčiar|
|Year:||2011 - summer|
|Leaders:|| doc. JUDr. Tomáš Richter LL.M., Ph.D.
|Work type:|| Finance, Financial Markets and Banking
|Awards and prizes:||M.A. with distinction from the Dean of the Faculty of Social Sciences for an excellent state-final examination performance and for an extraordinarily good masters diploma thesis.|
|Abstract:||The Slovak insolvency law reform, which came into effect on 1 January 2006, introduced
a brand new restructuring option for business debtors. In this thesis, we present the first
complex empirical analysis of all restructuring attempts allowed in the period 2006-2010.
Results, based on a large amount of data, which we gathered for this purpose, suggest that the
restructuring option is much more viable than the composition option under the previous
Bankrupcty and Composition Act. The system is characterized by very high success rates (in
terms of plan confirmation) and speedy proceedings. The size of the debtor affects neither the
prospects for success, nor the length of proceedings significantly. We conclude that, even
though a lot of improvements still need to be done, the reform moved the Slovak insolvency
law closer to the standards of the best-performing jurisdictions.
|Downloadable:|| Diploma Thesis of Hrnčiar