OREANDA-NEWS. May 05, 2010. SORAINEN Latvia advised leading Latvian commercial bank SEB banka in cases of insolvency of private individuals. SORAINEN lawyers analysed insolvency procedures initiated against private individuals who owed the bank money and advised the bank on further action in relations with debtors who act in bad faith, reported the press-centre of SORAINEN.

“By the end of March 2010, more than 250 private persons have applied to the Latvian courts to initiate insolvency proceedings, and this number is increasing rapidly. Unfortunately, the present Insolvency Law, the increasing work-load of courts and administrators, and inconsistent case law often leaves all creditors, especially banks and the SRS, in a very inconvenient position. In our opinion, a balance between the interests of the parties must be found in this situation and the possibility of acting in bad faith should be eliminated,” comments SORAINEN partner Girts Ruda who worked on this case together with associate Janis Likops.