International Corporate Rescue
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Vol 17 (2020) - Issue 1
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Subordination of Claims Held by Creditors that Belong to the Same Group of Companies as the Insolvent Debtor
Fermín Garbayo Renouard, Partner, Gómez-Acebo & Pombo Abogados SLP, Madrid, SpainSynopsis
Judgment No. 134/2016 of the Spanish Supreme Court (First Chamber) of 4 March 2016 ruled on the eligibility of non-lending related claims (in this particular case, a claim for rent under a lease agreement between group companies) to be an exception to the general subordination rule contained in section 92(5) of the Spanish Insolvency Act.
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