• French Court of Appeals Confirms Heart of La Defense's Right to Seek and Obtain Creditor Protection in France under Safeguard Proceedings
  • February 2, 2012 | Authors: Gregory A. Campbell; Benoît Fleury; Wayne P.J. McArdle; Jean-Philippe Robé
  • Law Firms: Gibson, Dunn & Crutcher LLP - Los Angeles Office ; Gibson, Dunn & Crutcher LLP - London Office ; Gibson, Dunn & Crutcher LLP - Los Angeles Office
  • On January 19, 2012, the Versailles' Court of Appeals confirmed that CMBS borrower, Heart of la Défense SAS (Hold), and its Luxembourg parent company, Dame Luxembourg Sarl (Dame), were entitled to Court protection in France under Safeguard Proceedings (sauvegarde). Safeguard is a French pre-bankruptcy process that resembles the U.S. Chapter 11 debtor-in-possession procedures, used most recently (and notably) in connection with the bankruptcies of General Motors and Lehman Brothers. This judgment follows the decision handed down on March 8, 2011 by France's highest court, the Cour de cassation.