Despite not expressly providing for a formal out-of-court restructuring framework, Luxembourg remains a popular jurisdiction for international debt restructurings. This article looks at Luxembourg's unique characteristics and its particular advantages in an international restructuring context, covering:
The Luxembourg vehicle as a restructuring tool.
Luxembourg's safe and robust security package.
The advantages of a conservative insolvency test.
Director liability.
Luxembourg court-driven recovery procedures.
English recovery proceedings and the establishment of a sufficient connection.
This article is part of the global guide to restructuring and insolvency law. For a full list of jurisdictional Q&As visit www.practicallaw.com/restructure-guide.