Impact assessment study on policy options for a new initiative on minimum standards in insolvency and restructuring law

The overall aim of the study is to provide the Commission with different policy options on minimum standards in insolvency and restructuring law, to estimate their impact and to produce recommendations for a preferred option. As per the Terms of reference the specific objectives of the study are: 1. Define the existence and the magnitude of problems in the area of capital flows, economic growth and job creation associated with discrepancies in insolvency regimes. In particular, the study should quantify the effects and the impacts of the barriers created by these discrepancies as per the following items: - the additional costs of national and EU cross-border insolvency proceedings compared to purely domestic insolvency proceedings; - the lost economic potential for the EU internal market resulting from the inefficiency of national insolvency frameworks; - the lost economic potential within the Member State (and consequently for the EU) resulting from the lack of a "second chance" for natural persons and entrepreneurs, who are prevented from contributing to the economy due to the harsh consequences of a (non-fraudulent) bankruptcy; - the national and EU cross-border costs and impacts of differences in substantive insolvency proceedings of Member States in relation to the lost potential and foregone benefits of the EU internal market in terms of flows of capital, growth, job creation and consumer benefits. 2. Identify policy options to address the problems identified; 3. Determine the economic and social impacts of the policy options. In particular, the study should quantify the impact of the measures to remedy the identified barriers in relation to: - additional costs - lost potential of the EU internal market in terms of flow of capital, growth, job creation; and consumer benefits.