Hannes Snellman Counsel in Supreme Court Case Rendering a Landmark Precedence Regarding the Status of a Real Estate Mortgagee in Bankruptcy
Hannes Snellman’s Restructuring & Insolvency team in Helsinki successfully represented a client in a landmark precedence case regarding the status of a real estate mortgagee in bankruptcy. The Supreme Court decided the question of whether the bankruptcy estate is obligated to prepare an account to the mortgagee without delay after the sale of a parcel of real property registration unit, or alternatively, only after the real property registration unit is sold in its entirety under circumstances where allegedly the sold part could be of more value than the whole unit if sold unparcelled. Upholding the decisions of the lower courts, the Supreme Court came to the conclusion that the account and related payment must be made immediately after the sale of any part of the pledged property.
You can read a case update in Finnish here.