Companies & entities
Insolvency and judicial reorganisation in Luxembourg
A business in difficulty in Luxembourg has, since the Law of 7 August 2023 on the preservation of businesses, access to reorganisation procedures designed to avoid bankruptcy (a stay, an amicable settlement, judicial reorganisation). The firm advises both debtors and creditors, from the initial review through to the procedure.
The reform of 7 August 2023 modernised Luxembourg insolvency law, placing the emphasis on prevention and on preserving viable businesses, alongside traditional bankruptcy.
Acting early is decisive: the earlier the situation is reviewed, the more reorganisation options remain open. Cerno Law Firm assesses the situation and defends your interests.
The need
Your business is in difficulty, or you are a creditor of a defaulting company.
The right steps are taken early, before any cessation of payments.
The risk
An undeclared cessation of payments, directors\' liability, lost chances of reorganisation, or claims not lodged with the liabilities.
Waiting reduces the options and worsens the exposure.
How we help
A review of the situation, the choice of procedure (prevention, judicial reorganisation, bankruptcy), and representation and defence of rights.
On the creditor side: lodging and defending claims.
Practice areas
When to call on the firm
- Anticipate financial difficulties.
- Initiate a judicial reorganisation.
- Lodge a claim in a bankruptcy.
- Defend a director facing proceedings.
Method
Our engagement process
- 1
Information intake
You describe your need via a structured form or an initial call. Our digital tools serve only to organise this information and save time.
- 2
Lawyer qualification
Maître Maglo reviews your situation, identifies the legal issues and confirms the feasibility and exact scope of the engagement.
- 3
Transparent quote
You receive a clear fee proposal, a fixed fee or a range, before any engagement. Nothing is billed without your approval.
- 4
Legal work
The firm drafts, negotiates or litigates as required. Every deliverable is designed and approved by a lawyer admitted to the Luxembourg Bar.
- 5
Tracking and delivery
You follow your matter transparently and receive your finalised documents with the explanations you need.
Documents required
- • Financial and accounting position
- • Main contracts and debts
- • Relevant decisions and correspondence
Deliverables
- • Review and options
- • Appropriate procedural documents
- • Representation of the debtor or creditor
Indicative timing
Timeframes depend on the procedure; prevention, however, requires acting without waiting for the cessation of payments.
On a quote basis
Depending on the procedure and the complexity of the matter; an initial assessment is provided in consultation.
FAQ
Frequently asked questions
What did the Law of 7 August 2023 change?
It reformed Luxembourg insolvency law by introducing prevention and reorganisation procedures to preserve viable businesses, beyond bankruptcy alone.
When should you act?
As early as possible: prevention and reorganisation require acting before any cessation of payments, which must in any event be declared within the legal deadlines.
Does the firm act for creditors?
Yes. The firm also assists creditors: lodging claims, monitoring the procedure and defending their rights.
Let’s talk about your matter
Describe your situation: you receive an initial analysis and a transparent quote, with no obligation. One dedicated lawyer, from start to finish.