Title When Liquidation is NOT an Option - LPEs in Distress Country/Territory United Kingdom Date 20/10/24 Description The treatment of local public entities (LPEs) in distress is a significantly under-researched area of insolvency and public law, particularly outside the US. However, the financial collapse of these entities frequently has a domino effect on the private sector, as well as on local, regional and national communities. Insolvency practitioners tend to know little about how LPEs in financial distress are managed. Globally, insolvency laws pertaining to LPEs are heavily influenced by local traditions, cultures and historic developments.
This project offered for the first time a global overview of the treatment of ongoing, executory contracts and obligations should LPEs file for formal insolvency or turnaround procedures.
This project was the first to examine the treatment of distressed LPEs on a global scale and the first to articulate unifying principles and standards for the laws and regulations governing the financial distress of LPEs. This project included participants from countries with varied economic and governmental structures.
This project is highly topical. In periods of financial distress, governments are keen on reducing transfers of funds to local, regional and national communities, thus directly or indirectly causing situations of financial distress to many LPEs.
Persons Casey Watters