E+H has advised Megatech Industries on its reorganization from financial distress and subsequent sale to Italian mobility supplier Sapa. Wolf Theiss, working with Gianni & Origoni, advised Sapa.

Fellner Wratzfeld & Partner has advised approximately 38% of the creditors in the restructuring proceedings of Pierer Industrie on a vote under the Restructuring Ordinance in Austria.

Fellner Wratzfeld & Partner has advised German battery manufacturer Varta in StaRUG restructuring proceedings.

Pohla & Hallmagi has advised Fort Aero on obtaining court approval for its reorganization plan previously approved by creditors.

Koutalidis has advised Sfakianakis Group on the restructuring of its debt with a total value of approximately EUR 300 million.

Filing a claim in insolvency proceedings may be the only way for creditors to recover at least part of the amount they are owed. In the Czech legal system, however, creditors face an understated but significant risk: if they overstate the amount of their claim, not only do they risk having it disregarded but they may also be required to pay a penalty to the debtor’s estate. This provision, embedded in the Czech Insolvency Act, acts as a double-edged sword: while it aims to prevent unfounded claims and speculation in insolvency proceedings, it often deters legitimate creditors from fully asserting their claims. This financial penalty has no equivalent in other European countries. So, how can creditors avoid penalties, and what should they know before submitting a claim in insolvency proceedings?