ADVANCE ARTICLE: Dave DE RUYSSCHER & Pieter DE REU, "Preinsolvency Proceedings and Court Dynamics in Antwerp (ca. 1880–1914)" Enterprise & Society 2025

 

(Source: cambridge.org)

Abstract

This article explores the dynamics of court practice with regard to mercantile preinsolvency in later nineteenth- and early twentieth-century Belgium. In 1883, the Belgian legislature introduced the proceeding of concordat préventif, making it possible for insolvent entrepreneurs to remain outside the liquidation-oriented procedure of faillite. Instead, they could declare their financial problems and propose a scheme of payment to their creditors. Despite this goal, however, the 1883 law, along with subsequent laws of 1885 and 1887, imposed high majority voting requirements. Accordingly, in the Antwerp commercial court, the shortcomings of the legislation were amended to ameliorate its procedural and judicial practice. The new practices of the court resulted in higher rates of acceptance of applications. However, these success ratios were not evenly distributed among the groups of debtors who applied. Perceptions shared by both creditors and judges may have advantaged merchants, brokers, and entrepreneurs who belonged to the higher strata of the city’s business world.  

Read more here: DOI 10.1017/eso.2025.6