Challenges of Modern Extraordinary Insolvency Procedure in Europe

- Presentation speakers
  - Dominik Vuletić, Faculty of Economics and Business, University of Zagreb, Croatia
Abstract:

The recent global occurrences of the “too-big-to-fail” entities constitute an enormous challenge for the government regarding its ability to manage economic affairs in the typical manner. Consequently, concepts describing the company as strategic, special interest, or systemically important, are starting to re-emerge as the subjects of the utmost importance in Europe. Given that the nature of these companies makes them relevant on the verge of their collapse, the author focuses on the legal and economic aftermath of their failures with the case study of the European Union newest member state: Croatia. The analysis was conducted on the basis of insolvency law, with an emphasis on the legal limits of the legislator’s remedies for market imperfections. After research of the government’s role in both theory and practice, the authors displayed the results of the in-depth analysis of the legal possibilities within the bankruptcy law of the Republic of Croatia. In addition, legal practice and state intervention was, briefly, compared with the experiences of other nations and analysed accordingly.