mar., 23 juil. 2013 16:43:00 +0000

Economic observatory: the results of collective proceedings

The first letter from the Economic Observatory of the National Council of Legal Administrators and Representatives (CNAJMJ) has been published (for the first quarter 2013). It covers the outcome of collective proceedings, by looking into explanatory factors and their recent developments over the period from 2008, the first year of the economic crisis, to 2012:
Amongst the initial results:
•    "More frequent outcomes as safeguarding proceedings rather than judicial administration, and resolutions more frequently as administration rather than safeguarding"
•    "Over the period from 2008-2011, an increase in the proportion of safeguarding leading to a plan"
Moreover, certain factors have statistically influenced the outcome of proceedings: "factors which are traditionally correlated to company default (companies, young companies, small size, with high debt ratios notably) are also predictive following the procedure". Concerning the duration of proceedings, these "differ between safeguarding and administration, but have not significantly changed since the start of the crisis".
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