Exploiting a bankruptcy reform in Korea, I examine how managers' personal bankruptcy costs affect firms' financing and investment decisions. Under the pre-reform auction system, incumbent management was forced to resign and the firm was auctioned...Read more
This paper critically reviews the EU Commission?s proposals for a reform of the European Insolvency Regulation (EIR). The focus of the paper is on the Regulation?s use as a tool for business restructuring in Europe. The paper argues that the...Read more
Firms that buy distressed and bankrupt companies or some of these companies? assets
earn excess returns that are at least 1.6 percentage points higher than when they make
regular acquisitions. These returns come at the expense of the...Read more
Two events are currently changing the landscape for business restructurings in the European Union: the ?Restructuring Recommendation? (RR) of the European Commission, issued in 2014, and the 2015 recast of the European Insolvency Regulation (EIR...Read more
In this Essay on Lynn LoPucki and Bill Whitford?s corporate reorganization project, written for a symposium honoring Bill Whitford, I begin by very briefly describing its historical antecedents. The project draws on the insights and perspectives...Read more
Since the enactment of the Dodd-Frank Act in 2010, U.S. bank regulation and bankruptcy have become far more closely intertwined. In this Article, I ask whether the new synthesis of bank regulation and bankruptcy is coherent, and whether it is...Read more
This chapter deals with fundamental issues of corporate insolvency law. Particular attention is paid to the agency problems related to ?bankruptcy governance? and how these are addressed in various jurisdictions. Methodologically, the chapter is...Read more
In this paper, I examine the strategic role of debt structure in improving the bargaining position of a firm’s management relative to its non-financial stakeholders. Debt structure is essential for strategic bargaining because it affects the ease...Read more
Insolvency proceedings and issues relating to personal and business insolvencies are the daily subject of scholarly work and insolvency practice. But what is an insolvency proceeding? And why is this an important question? This article deals with...Read more
The European Commission has proposed a directive on ‘preventive restructuring frameworks’ for financially distressed firms. I demonstrate that the proposal is flawed because it creates a refuge for failing firms that should be liquidated, because...Read more
We study the resolution of financial distress in shipping, where the ex-territorial nature of assets has distanced the industry from on-shore bankruptcy legislation. We demonstrate how contracts and private institutions have adapted to the...Read more
