If a non-Spanish debtor has been declared insolvent by a non-Spanish Court and has assets in Spain, it is possible to apply for the exequatur of the insolvency proceedings, regardless of whether the debtor is a Spanish resident or not.
Applicable law to the application for the exequatur of a foreign insolvency proceeding in Spain
Depending on the State in which the declaration of insolvency has been issued, the recognition of foreign insolvency proceedings in Spain will be subject to one or another rule.
If the declaration of insolvency has been issued by a non-EU member Court, the application for exequatur will be governed by the Spanish Law no. 29/2015 of international legal cooperation in civil matters (LCJIC), whereas, if the declaration of insolvency of the debtor has been issued by an EU member Court, the application for exequatur will be governed by the Regulation (EU) No. 1215/2012 of the European Parliament and of the Council of 12 December 2012 on jurisdiction, and the recognition and enforcement of judgments in civil and commercial matters (the Brussels I bis Regulation).
Application for provisional measures on the debtor’s assets based in Spain
It is also possible to apply for provisional measures on the debtor’s assets based in Spain (even “ex parte”), such as the prohibition on the disposal of assets, which prevent that the debtor dispose of his patrimony in the time that elapses between the application for exequatur and the recognition of the foreign insolvency proceedings in Spain.
Nevertheless, whether applying for the exequatur of an insolvency proceeding in Spain or applying for provisional measures, it is necessary in both cases to carry out effective Asset Tracing on the debtor’s assets. Our team of experts in Asset Tracing & Recovery can provide you with this service.
Insolvency Litigation and Enforcement lawyers in Spain
LAWANTS has significant and consolidated experience and expertise in the application for the exequatur of foreign insolvency proceedings in Spain, as well as in the application for provisional measures on the debtor’s assets based in Spain. Contact us for more information.