tag:blogger.com,1999:blog-168440852024-02-03T08:01:46.460+01:00Swedish Law Blog<br>A BLAWG by a Swedish lawyer on Swedish Law <br>with Emphasis on Swedish Business Law <br><br><br>
Mail to: krister (/at\) bruzelius (/dot\) se
<br><br><br>KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.comBlogger109125tag:blogger.com,1999:blog-16844085.post-18198126894911761702010-08-31T09:36:00.002+02:002010-08-31T09:36:00.872+02:00Swedish Law - Severance Compensation to Sales Agents - 31 § Sales Agency ActAccording to § 31 of the Sales Agency Act a request for severance compensation must be lodged within one year from the termination of the agreement, which is consistent with the EC directive regulating. The provision is mandatory in the sales agent's favour, thus a shorter limitation period is not allowed. <br />
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This post concludes the series of posts on severance compensation to sales agents under Swedish law.<br />
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If you have questions regarding severance compensation to sales agents, please, either put your question as a comment below or send me an email, krister //dot\\ bruzelius //at\\ wallaw //dot\\ seKBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com2tag:blogger.com,1999:blog-16844085.post-41859044376750280072010-08-30T09:25:00.002+02:002010-08-30T09:25:00.523+02:00Swedish Law - Severance Compensation to Sales Agents - 30 § Sales Agency Act30 § of the Sales Agency Act deals with the right to severance compensation, if the agent terminates the contract himself. The provision is mandatory to the sales agent's benefit and is based Article 18 of the EC Directive. <br />
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The agent is entitled to severance compensation only if <br />
1. the termination is due to a circumstance attributable to the principal enabling the sales agent to terminate the agreement with immediate effect according to § 26 of the Sales Agency Act, or <br />
2. because of the agent's age or illness or similar circumstances, the sales agent cannot reasonable be required to continue his activities. <br />
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As regards the first paragraph it should be noted that it includes termination due to breach of contract as well as termination "due to an important reason". Compare the commentary on § 29 above. <br />
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If the sales agent is a company or other legal entity, the second paragraph of the provision may be invoked in case of old age, sickness or death of centrally placed executives in the agency company.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-74523930196838502602010-08-26T09:24:00.001+02:002010-08-26T09:24:00.108+02:00Swedish Law - Severance Compensation to Sales Agents - 29 § Sales Agency ActAccording to § 29, the sales agent is not entitled to severance compensation, if <br />
1. the principal has terminated the agreement because the agent's breach of contract, provided the sales agent has acted intentionally or recklessly; <br />
2. the agency agreement is terminated by reason of the agent's bankruptcy, or <br />
3. the sales agent and the principal agree to transfer the agency to another party. <br />
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The provision is mandatory for the sales agent's favour in that the sales agent does not need to accept less advantageous conditions than those prescribed by law. <br />
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It should be noted that the requirements of 29 § paragraph 1 are narrower than those on the right of early termination due to breach of contract (according to § 26 of the Act), which is a direct departure from the EC Directive. This means that upon termination by the principal as a result of the agent's breach of contract, the sales agent may still be entitled to severance compensation. It should further be noted that the principal’s termination "due to an important reason" does not deprive the sales agent of his right to severance compensation. <br />
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The provision does not require that a termination for breach of contract is actually performed. It is, however, that the agency relationship is terminated by ordinary dismissal or by appointment in close connection to the breach of contract by the sales agent.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-66318921033187041772010-08-24T09:23:00.004+02:002010-08-24T09:23:00.249+02:00Swedish Law - Severance Compensation to Sales Agents - 28 § Sales Agency ActAccording to the Swedish Sales Agency Act 28 § Agent is entitled to severance compensation (“avgångsvederlag”) when the agency agreement ceases if and to the extent <br />
1. the sales agent has provided the principal with new customers or has significantly increased trade with the existing group of customer and the principal will derive a significant advantage from such development, and <br />
2. severance compensation is reasonable, given the totality of the circumstances, and particularly the loss to the agent of in respect of contracts with the customers mentioned in the first paragraph. <br />
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The severance compensation shall not exceed an amount equivalent to one year's remuneration, calculated at an average during the last five years or during the period in which the sales agent performed the agency, if shorter. <br />
This provision is mandatory for the sales agent's benefit and is based in Article 17 of EC Directive (86/653/EEC). <br />
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In calculating the severance compensation the agent's saved operating costs shall be taken into account. Circumstances which could affect whether severance compensation shall be paid and the size of the compensation are i.a. <br />
• the length of the contractual relationship <br />
• the size of investments by the sales agent <br />
• the sales agent's work efforts <br />
• the sales agent's success in the market. <br />
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Should the sales agent decline an offer of an extension of a fixed-term contract or if the sales agent starts to sell competing products following the termination of the agency agreement, this may reduce his possibility to obtain compensation. Competition prohibitions applicable after the termination of the agreement may, on the other hand, have a positive effect on the possibility of the sales agent to receive a substantial compensation.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-33019653588138259072010-08-23T16:13:00.001+02:002010-08-23T16:15:12.320+02:00Swedish Law - Severance Compensation to Sales AgentsAs I quite often get questions about the rules on severance compensation to sales agents, I will briefly cover the current rules in some coming blog posts.<br /><br />Questions concerning agents are governed by Act (1991:351) on sales agency, usually referred to as the Sales Agency Act. Paragraphs 28-31 deal with issues of severance compensation to the sales agent in connection with the termination of an agency agreement.<br /><br /> * 28 § of the Sales Agency Act sets out the basic terms of when and under what conditions a sales agent is entitled to severance compensation<br /> * 29 § of the Sales Agency Act sets out provisions about when severance compensation is not payable to the sales agent<br /> * 30 § of the Sales Agency Act covers severance compensation when the sales agent himself has terminated the agency agreement<br /> * 31 § of the Sales Agency Act establishes the time requirements for demands of severance compensation<br /><br />One very important thing to remember is that the sales agent is not bound by contractual arrangements which are less favourable to him than the provisions of paragraphs 28 through 31. <br /><br />In my next post I will present the contents of § 28 of the Sales Agency Act.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-57211007959701478212010-08-20T14:53:00.001+02:002010-08-20T15:10:59.687+02:00Swedish Law – Purchasing Real Estate in SwedenI have received a question if a foreign (i.e. non-Swedish) lawyer may draft the Sale and Purchase Contract in respect of Swedish real estate.<br /><br />My answer was roughly as follows:<br /><br />There is no formal requirement that a Sale and Purchase Contract should be drafted by a Swedish lawyer. There is actually no requirement at all regarding who is entitled to draft the Sale and Purchase Contract. Even if it is most common that the real estate agent involved drafts the contract, it could be drafted by the parties themselves or by a third party.<br /><br />However, I would assume that a Swedish seller would be hesitant to sign a Sale and Purchase Contract drafted by a foreign lawyer. In addition I am not sure that a foreign lawyer would be sufficiently acquainted with applicable Swedish law relating to transfer of real estate to safe guard her or his client as buyer.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-43849826688116096732009-11-24T17:57:00.000+01:002009-11-24T18:00:19.090+01:00Koenigsegg backs out of Saab dealSwedish media reports that Koenigsegg is backing out of the Saab deal with GM. Read the <a href="http://www.thelocal.se/23458/20091124/">comments in The Local</a>.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-53663735662167402802009-06-03T11:25:00.003+02:002009-06-03T11:49:48.699+02:00Silence is the Enemy<a onblur="try {parent.deselectBloggerImageGracefully();} catch(e) {}" href="http://profile.ak.facebook.com/object3/323/22/n88260307629_3432.jpg"><img style="display:block; margin:0px auto 10px; text-align:center;cursor:pointer; cursor:hand;width: 200px; height: 231px;" src="http://profile.ak.facebook.com/object3/323/22/n88260307629_3432.jpg" border="0" alt="" /></a><br /><br />Although this blog is intended to cover Swedish law issues I have to tell you about "<a href="http://blogs.discovermagazine.com/intersection/2009/06/01/silence-is-the-enemy/">Silence is the Enemy</a>"<br /><br />Silence is the Enemy is a campaign initiative against the rape and abuse of women and girls in Liberia and around the world started by <a href="http://blogs.discovermagazine.com/intersection/author/skirshenbaum/">Sheril Kirshenbaum</a> in her blog <a href="http://blogs.discovermagazine.com/intersection/">The Intersection</a>.<br /><br />The initiative has also a <a href="http://www.facebook.com/group.php?gid=88260307629">Facebook Group</a> to join. <br /><br />In her original blog post Sheril Kirshenbaum wrote i a:<br /><blockquote>"Today begins a very important initiative called Silence Is The Enemy to help a generation of young women half a world away.Why? Because they are our sisters and children–the victims of sexual abuse who don’t have the means to ask for help. We have power in our words and influence. Along with our audience, we’re able to speak for them. I’m asking all of you–bloggers, writers, teachers, and concerned citizens–to use whatever platform you have to call for an end to the rape and abuse of women and girls in Liberia and around the world.<br /><br />In regions where fighting has formally ended, rape continues to be used as a weapon. As Nicholas Kristof recently wrote from West Africa, ‘it has been easier to get men to relinquish their guns than their sense of sexual entitlement.’ The war has shattered norms, training some men to think that ‘when they want sex, they need simply to overpower a girl.’ An International Rescue Committee survey suggests 12 percent of girls aged 17 and under acknowledged having been sexually abused in some way over the previous 18 months. Further, of the 275 new sexual violence cases treated Jan-April by Doctors Without Borders, 28 percent involve children aged 4 or younger, and 33 percent involve children aged 5 through 12. That’s 61% age 12 or under. We read about their plight and see the figures, but it’s so easy to feel helpless to act in isolation. But these are not statistics, they are girls. Together we can do more. Mass rape persists because of inertia so let’s create momentum."</blockquote><br /><br />Many bloggers are blogging to support this initiative. I have noted i a <a href="http://kristof.blogs.nytimes.com/2009/06/01/silence-is-the-enemy/">Nicolas Kristof at the New York Times</a>, <a href="http://archaeoastronomy.wordpress.com/2009/06/01/silence-is-the-enemy/">Alun Salt in Archaeoastronomy</a> and <a href="http://www.google.se/search?q=%22silence+is+the+enemy%22+%2Bblog&ie=utf-8&oe=utf-8&aq=t&rls=org.mozilla:sv-SE:official&client=firefox-a">many many more</a>KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com4tag:blogger.com,1999:blog-16844085.post-18503738818760517972009-05-29T12:57:00.004+02:002009-05-29T13:17:33.490+02:00Swedish Bankruptcy Law – US Domiciled Swedish DebtorI received the following comment/question to one of my posts on "Swedish Law – Company Reorganisation":<br /><br /><blockquote>I'm not sure this is the right place to post this....I came across your blog doing some internet research on Swedish bankruptcy laws...<br /><br />My husband is a Swedish citizen who took out a loan to start a photography business (I think it is actually a personal loan though). He met me in the US and we have been married here for a year now, struggling to make payments on just the interest alone as finding work for him here has been difficult. He could not afford the union dues for having his business open in Sweden so we closed that earlier this year.<br /><br />This weekend our apartment was broken into and $7,000 of camera equipment that he used the loan to purchase was stolen. We do not have renter's insurance. He owes over twice that amount still ($17,000) on the loan, and now has no way of making money without his camera. We are considering filing bankruptcy in Sweden for his debt, but we are not sure how that works now that he is a resident here (still a Swedish citizen and the loan is Swedish). My income is barely enough to pay rent and buy groceries.<br /><br />So it goes.<br /><br />I would be incredibly grateful for any advice. If we go through with this, I am assuming we will need a lawyer to assist?<br /><br />Thanks.<br />Megan </blockquote><br /><br /><span style="font-weight:bold;">ANSWER</span>:<br />As the above question highlights an important difference between US and Swedish bankruptcy law I give my answer here as a separate blog post.<br /><br />First of all I think it is very important to note that a private person <span style="font-weight:bold;">is not released</span> from his or her debts through bankruptcy proceedings according to Swedish law. This means that there is normally no reason for a private person to apply for bankruptcy in Sweden. <br /><br />As your husband is domiciled in the US, I base the following short answer to that situation. Special rules apply to debtors domiciled in the Scandinavian countries and in an EU state.<br /><br />A Swedish citizen domiciled in the US could be subject to an application for bankruptcy by a creditor. Such an application could be made with reference to <a href="http://www.regeringen.se/download/30607300.pdf?major=1&minor=27778&cn=attachmentPublDuplicator_0_attachment">the Swedish Code of Judicial Procedure</a>, Chapter 10, Section 1, which reads:<br /><br />“<span style="font-style:italic;">A person with no known residence in or outside Sweden may be<br />sued at the place where he is sojourning. If he is a Swedish citizen<br />and sojourning outside the Realm or at an unknown place, he may<br />be sued at the place within the Realm where he last resided or<br />sojourned.</span>”<br /><br />If he is declared bankrupt in Sweden, according to Swedish law, the bankruptcy estate will encompass, at least formally, all of his assets irrespective of whether such assets are in Sweden or outside. However, to what extent the Swedish bankruptcy receiver will get any cooperation from any state or federal authorities in the US in order to gain control of his US assets is a question for these authorities.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com12tag:blogger.com,1999:blog-16844085.post-11882253605617550632009-05-29T09:05:00.001+02:002009-05-29T09:07:52.222+02:00Swedish Law – SAAB Reorganisation - New ProlongationThe Vänersborg City Court announced this morning its decision that the SAAB reorganisation shall continue until August 20, 2009.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-28977174084461882252009-04-22T10:03:00.001+02:002009-04-22T10:12:11.476+02:00Swedish Law – Purchasing Real Estate in Sweden - Sale of Co-Owned PropertyI have received a question about the sale of a property by a 50 % owner. <br /><br />Question:<br /><br />Is it possible for a 50% share owner of a property to order the sale of the entire property without the consent of the remaining partners?<br /><br />As my answer may be hard to find among the old posts on Purchases of real estate in Sweden I publish it here.<br /><br />Answer:<br /><br />Yes and no. I am a lawyer you know ;)<br /><br />The rules of the Swedish Act on Co-Ownership (<a href="https://lagen.nu/1904:48_s.1">Lag (1904:48 s.1) om samäganderätt</a>) apply.<br /><br />According to this act, if a house or other real property is owned by more than one person, each co-owner, irrespective of the share he owns, has the right to go to court and ask the court to appoint a custodian, who will then arrange for the sale of the property through a public sale.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com8tag:blogger.com,1999:blog-16844085.post-17701659292675687072009-04-17T14:00:00.002+02:002009-09-23T14:16:20.946+02:00The Pirate Bay Sentence TodayThe four men connected with The Pirate Bay were sentenced today to one year of imprisonment each for being accessories to copyright infringement. They shall also pay damages in an amount of SEK 30 million corresponding to about US$ 3.5 million. The Local has more in this article <a href="http://www.thelocal.se/18908.html">Pirate Bay guilty</a>.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-69049274840809018412009-04-06T21:11:00.001+02:002009-04-06T21:13:05.537+02:00Swedish Law – SAAB ReorganisationThe Vänersborg City Court decided today at the creditors’ meeting that the SAAB reorganisation shall continue until May 20, 2009. At the request of some creditors the court appointed a creditors’ committee. As mentioned in <a href="http://swedishlaw.blogspot.com/2009/03/swedish-law-company-reorganisation.html">an earlier blog post</a> the administrator shall consult with the committee in all significant issues.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-53500682976577455502009-04-06T09:57:00.001+02:002009-04-06T09:59:40.808+02:00Swedish Law – SAAB ReorganisationAs mentioned in an <a href="http://swedishlaw.blogspot.com/2009/02/swedish-law-company-reorganisation_23.html">earlier blog post</a> the SAAB creditors’ meeting will take place in Vänersborg today. Further information can be found in <a href="http://www.thelocal.se/18696/20090406/">this article in the Local</a>.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-45299950884912533962009-03-26T10:14:00.002+01:002009-03-26T10:17:45.006+01:00Swedish Law – Company Reorganisation – Compulsory Composition (continued)Only creditors whose claims arose prior to the application for company reorganisation may participate in composition proceedings. <br /><br />A creditor whose claim may be satisfied through set-off or whose claim is subject to rights of priority may not participate in the proceedings. If a creditor has a subordinated claim, he is not allowed to participate in the composition proceedings, unless the other creditors who are participating in the proceedings should consent to this.<br /><br />If a creditor waives its rights of set-off or priority, in whole or in part, the creditor may participate in the proceedings to a corresponding extent. It should be noted that a creditor may participate in the proceedings, even if his claim is not due and payable or is tied to certain conditions in order to be payable.<br /><br />(to be continued)KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-7098319045600532072009-03-24T13:00:00.001+01:002009-03-24T13:01:51.180+01:00Swedish Law – Company Reorganisation – Compulsory CompositionAccording to the old Composition Act of 1970 the creditors could be force to accept a composition provided a majority of the creditors voted for such a solution. The procedure under the old act was not part of a reorganisation procedure but a separate institute. <br /><br /><br />When the new legislation on company reorganisation was introduced in 1996 the old Composition Act was recalled and the composition procedure was integrated as a part of the new reorganisation procedure. It is, thus, no longer possible to obtain a forced composition outside the scope of a reorganisation.<br /><br /><br />Under normal circumstances and in order to be valid<ul><br /><li> the composition must provide all similarly entitled creditors with similar rights,<br /><li> the composition must provide at least 25 percent of the amount of the claims, and<br /><li> the prescribed minimum distribution shall be paid within one year following the composition order.<br /></ul><br /><br />(to be continued)KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-22014575772255623622009-03-17T14:08:00.002+01:002009-03-17T14:13:04.065+01:00Swedish Law – Company Reorganisation – Termination of ReorganisationBefore I go into the next steps in a successful company reorganisation, I find it appropriate to mention the situations where the reorganisation will be terminated by the district court. They are:<br /><ul><br /><li> when the purpose of the reorganisation is deemed to have been achieved,<br /><br /><li> if the company requests a termination and a decision to proceed to composition has not been passed,<br /><br /><li> if the company fails to participate in <a href="http://swedishlaw.blogspot.com/2009/03/swedish-law-company-reorganisation.html">the creditors’ meeting</a>, <br /><br /><li> if the administrator or a creditor so requests and the purpose of the reorganisation is deemed not to be possible to achieve and<br /><br /><li> if a special cause otherwise exists for a termination.<br /></ul> <br />As mentioned in <a href="http://swedishlaw.blogspot.com/2009/02/swedish-law-company-reorganisation_25.html">an earlier blog post</a>, the time period during which the administrator should finalise his action to achieve a reorganisation is three months from the date of the reorganisation decision by the court. In line with that, the court has a duty to terminate the reorganisation three months from that decision. <br /><br />However, if special causes exsist, the court may prolong this period by additional periods, each time of a maximum of three months, but the total reorganisation period may not exceed one year.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-32432019793101232092009-03-16T17:48:00.001+01:002009-03-16T17:50:33.640+01:00Swedish Law – Company Reorganisation – Right to Set-Off (continued)The first of the exemptions from the right to set-off mentioned in my last blog post covers claims on the company acquired from a third party later than three months prior to the date when the application for company reorganisation was filed. Such a claim may only be offset against a claim which the company possessed at the time at which the creditor acquired its claim, if the acquisition could be deemed as ordinary. <br /><br />Also exempted are claims where the creditor has incurred liabilities towards the company under such circumstances as may be equated with payment other than by customary means of payment, but only to the extent such payment could have been the subject of recovery procedures according to the recovery rules in the Swedish Company Reorganisation Act (1996:764). These rules will be covered later as they are part of the provisions regarding judicial composition.<br /><br />It should be noted that a claim of a guarantor or other person who has acquired a claim, because he has satisfied an obligation (right of recourse), shall be deemed to have been acquired at the time when the obligation of the guarantor or such other person arose and not at the later date when the claim was acquired.<br /><br />If, after the date when the application for company reorganisation was filed, the company transfers a claim in such a manner that a creditor thereby loses its right to set-off, the company shall compensate the creditor.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-2371952926429431362009-03-12T10:16:00.001+01:002009-03-14T09:13:48.073+01:00Swedish Law – Company Reorganisation – Right to Set-OffThe basic rule concerning right to set-off is that anyone who held a claim against the company when the application for company reorganisation was filed has the right to offset such claim against claims which the company had at such date against such person. The right to set-off applies even if the claim was not due and payable. <br /><br />There are, of course, some exemptions to this basic rule and I will cover them in my next blog post.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-16848927974365364082009-03-11T10:23:00.000+01:002009-03-14T09:13:48.073+01:00Swedish Law – Company Reorganisation –Company’s Agreements (continued)The provisions about what happens to the agreements of a Swedish company undergoing reorganisation apply even if the parties have agreed otherwise. Any agreement contrary to the rules in the Act is null and void.<br /><br />It should also be noted that the provisions do not apply to employment contracts not to creditors holding financial instruments or currency as security.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-42180180501386670052009-03-05T15:58:00.001+01:002009-03-14T09:13:48.074+01:00Swedish Law – Company Reorganisation –Company’s AgreementsIf a party to an agreement with the company was entitled to terminate the agreement prior to the reorganisation decision due to actual or anticipated delay in payment or performance, such party is prevented from effecting such termination provided the company with the administrator’s consent demands within a reasonable period of time that the agreement shall be performed. The company is also obliged at the request of the other party to provide notice whether the agreement will be performed.<br /><br />There are of course certain conditions that have to be fulfilled by the company. <br /><br />• If the performance of the other party is due, the company shall, if so requested, perform its corresponding obligations.<br /><br />• If the performance of the other party is not due, the other party is entitled to receive security for the company’s future performance to the extent this is required by special cause in order to protect the other party against loss.<br /><br /><br />If the company should fail to provide a notice when requested by the other party or fail to fulfil the conditions mentioned above, the other party is entitled to terminate the agreement.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-30094975291454776812009-03-03T16:11:00.001+01:002009-03-14T09:13:48.074+01:00Swedish Law – Company Reorganisation - Enforcement Measures during ReorganisationDuring the reorganisation period no levy of execution or other enforcement measures may take place against the company with the exception of claims where the creditor has a possessory pledge right or a right of retention. <br /><br />No decisions regarding provisional attachment (arrest) or payment security may be passed during the reorganisation period.<br /><br />If there is a special cause to believe that the company is acting in a way that may jeopardise a creditor’s rights, the creditor may apply for and the court may pass such decisions as it deems fit to secure such rights.<br /><br />Should a creditor apply for bankruptcy during the reorganisation period, the court should stay the bankruptcy proceedings if so requested by the company.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-17264312057908370862009-03-03T14:40:00.001+01:002009-03-14T09:13:48.075+01:00Swedish Law – Company Reorganisation - Creditors’ MeetingAs mentioned earlier a creditors’ meeting should be held within three weeks from the date of the reorganisation decision or, if it is an unavoidable necessity, at a later date. Such an unavoidable necessity seems to have caused the SAAB creditors’ meeting to be held on April 6, 2009, more than six weeks from the date of the reorganisation decision.<br /><br />The administrator will present at the meeting the information available to him concerning the financial status of the company and normally also a preliminary reorganisation plan setting out the manner in which the reorganisation can be achieved.<br /><br />At the meeting the creditors are given the opportunity to express their opinion about whether the reorganisation should continue or not, but no formal vote is taken. It is of course of the outmost importance for the success of the reorganisation, that a substantial majority of the creditors agree to continue as a majority is needed in order to carry through an official composition with the creditors; although only a 40 % majority is needed to lodge an application for composition.<br /><br />The creditors are entitled to request the court to appoint a creditors’ committee at the creditors’ meeting. If such a committee has been appointed the administrator shall consult with the committee in all significant issues.<br /><br />It should be noted that during the reorganisation period, any creditor has the right to apply to the court for a decision to stop the proceedings. The court will agree to such an application if the court determines that the purpose of the reorganisation cannot be achieved.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-7773574758586659622009-03-02T15:00:00.002+01:002009-03-14T09:13:48.075+01:00Swedish Law – SAAB ReorganisationSwedish news agencies now report as in The Local that <a href="http://www.thelocal.se/17930/20090302/">GM agrees to pay SAAB's debts to suppliers</a>.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0tag:blogger.com,1999:blog-16844085.post-34012257119888513212009-02-28T12:51:00.002+01:002009-03-14T09:13:48.076+01:00Swedish Law – SAAB Reorganisation<a href="http://www.thelocal.se/">The Local</a>’s latest <a href="http://www.thelocal.se/17902/20090228/">SAAB news</a>. It does not add very much to my <a href="http://swedishlaw.blogspot.com/2009/02/swedish-law-saab-reorganisation.html">latest post</a> on the subject.KBzhttp://www.blogger.com/profile/09347564581575321203noreply@blogger.com0