HUNGARY
As at 8 February 2018
By Zoltan Fabok
Counsel at DLA PIPER, Budapest
| Proceedings | Elements of the Directive already included into the national legislation |
| 'csődeljárás' Main Features: 2 options - conclusion of a composition agreement by the majority of the creditor's classes and approval by the court; - opening insolvent liquidation proceedings ('felszámolási eljárás') if no composition agreement has been concluded or approved by the court. |
- Art 5. Management remains partially in control (DIP) but supervised by the administrator ('vagyonfelügyelő'). - Art 6. Automatic stay applies (120 days but it can be extended up to 653 days). - Art 7. (1)+(2) no duty to file and prevention of liquidation; (4)+(5) some protection; (6) basically compliant. Art 8. (1) basically compliant; (2)+(3) no model plans. Art 9. Basically compliant. Art 10. (1) Confirmation by the court is needed in all cases; (2)+(3)+(4) partially compliant. Art 14. Every creditors (except some protected groups) are affected by the confirmed agreement. Art 15. (1)+(2)+(3) compliant. Art 18. Mostly compliant. |
| 'természetes személyek adósságrendezési eljárása' | Some elements of the Directive are included but the socially motivated law, basically, is aimed at protecting natural persons (including entrepreneurs). |