UPC CoA, 26 February 2024, No stay for insolvency after conclusion of oral proceedings
02-03-2024 Print this page
Stay of proceedings because of insolvency not justified (Article 41(3) UPCA, Rule 311(1) RoP).
Party is declared insolvent only after the conclusion of the oral proceedings and the legal dispute is ready for decision.
At this stage of the proceedings, the parties have already taken all procedural steps and all costs have already been incurred by the parties. If the decision or order affects the bankruptcy estate, it does not differ from the effect that a decision or order issued before the declaration of bankruptcy would have had. Furthermore, the interest in a timely order weighs particularly heavily in proceedings for interim relief, as is the case here. Furthermore, it leads to a fair balance between the legitimate interests of the parties if events that only occurred after the conclusion of the oral hearing are no longer to be taken into account in the decision-making process.
Confirmed by comparable provisions in the national civil procedural law of several contracting member states of the Convention.
