Prepacks under French Insolvency Law (H de Lauriston, B. Gallo, C. Remaud)
Prepacks under French Insolvency Law.
This article was written by Hadrien de Lauriston, Partner, Benjamin Gallo, Associate, and Charlène Remaud, Associate of Hoche Avocats, Paris, France.
The concept of prepack refers to different transactions whether you are in the United States where a prepack is a pre-negotiated plan of reorganisation implemented in subsequent insolvency proceedings or in the United Kingdom where a prepack is an assets or business sale transaction prepared ahead of administration. French insolvency law was inspired by both regimes and the concept of prepack may refer to prepack reorganisation plan or prepack sale plan. The common characteristic of French prepacks is that a debtor, together with a court-appointed third party, will prepare the contemplated plan under an amicable and confidential proceedings and implement it under subsequent insolvency proceedings.