Eu law-Bankruptcy

mdp

Registered User
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Hello,
I have rather a complex problem and would like any help possible..
I will try make it as easy to understand as possible...

If company x is a parent company in a European union country,then opens a side company xy(y=country)in a non- EU country, but y has since become a member state,then xy begins to do business in 2 different departments..After time it decides 1 dept. is not viable and declares bankruptcy in that dept.Then continues to do business in the other dept....
My queries are..
1.Is that possible?
2.If *TOM*ltd has a contract with dept.1,and dept.1 is no longer honouring its part to the contract with*TOM*ltd where does that leave *TOM*ltd now?
3.Who is responsible?
4.Can x be held accountable?
5.*TOM*ltd has already started court proceedings in country y with xy dept1. but the outlook is very dim..due to the relatioship between x and y..

My own feeling on the matter is that its a clear case of bullying by x due to the protection of y,and many EU laws and rights are been broke by both x and y.

It is a real can of worms at the minute and I would greatly appreciate anybodies input,comments and suggestions on the matter..

Thanking you......
 
A branch of a company cannot declare bankruptcy...............

The legal entity in this case is XY Ltd

If you have a problem with department X or departmnent Y, the legal entity to be sued is XY Ltd.
 
Thanks my thoughts exactly,but under EU law can the parent company be brought into the equation or is its branch xy only accountable,the reason I ask this is that xy operates and has protection in y.What would the European Commisions view on this be???
Again I thank any input i can get...
I am currently building a case to take to Europe if I dont get justice in y..
 
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