Important clarifications concerning the scope of application of the collateral law

The Luxembourg Court of Appeal’s decision on 11 January 2024 raised significant doubts about the territorial scope of the Luxembourg Law of 5 August 2005 on financial collateral arrangements, as amended (the “Collateral Law”), particularly regarding the protection afforded by Article 20(1) in cases of insolvency proceedings initiated outside the European Economic Area (“EEA”). In …

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