A. INSOLVENCY LAW OF SLOVENIA

Slovenian insolvency law has its own insolvency statute, i.e. the Financial Operations, Insolvency Proceedings and Compulsory Dissolution Act (ZFPPIPP); so transactions avoidance law is part of the insolvency statute.

Slovenian transactions avoidance law also applies to natural persons (including consumers).

B. SCOPE

The implementation of the Model Law would not change the scope of Slovenian transactions avoidance law at the moment, when the Amendment H to ZFPPIPP is in the progress. See F (Other impact issues).

C. GENERAL PREREQUISITES

The general prerequisite is the legally defined state of insolvency of the debtor at the moment when the legal transactions or other legal acts were entered into or performed (and not just a bad financial situation of the debtor). The general prerequisites are as follows:

• – Transactions (12 months) prior to the filing of the application for the commencement of bankruptcy proceedings.

• – Disadvantageous for the general body of creditors.

• – Advantageous/preferential for the individual creditor.

• – Mental element (awareness of substantive insolvency) on the opponent’s side.

• – No mental element regarding the transactions at an undervalue.

• – No mental element regarding transactions in favour of closely related parties (in case of personal bankruptcy).

D. AVOIDANCE GROUNDS

Avoidance grounds follow the principles of par condicio creditorum and bona fide. The grounds are as follows:

• – Transactions disadvantaging creditors.

• – Preferences.

• – Transactions at an undervalue.

• – Forbearances (omissions).

E. LEGAL CONSEQUENCES

Not applicable

F. OTHER IMPACT ISSUES

1) IMPLEMENTATION MONITORING

An implementation monitoring working group was set up with the Ministry of Justice in March 2014. Members of the group are the following institutions:

• – Ministry of Justice;

• – Ministry of Finance;

• – Ministry of Economic Development and Technology;

• – Supreme Court of the Republic of Slovenia;

• – Appellate Court of Ljubljana;

• – Chamber of Insolvency Administrators;

• – Bar Association of Slovenia;

• – State Attorney’ s Office;

• – Bank of Slovenia;

• – Financial Administration of the Republic of Slovenia;

• – Bank Association of Slovenia;

• – Chamber of Commerce and Industry of Slovenia;

• – Chamber of Craftand Small Business of Slovenia;

• – Slovenian Chamber of Commerce;

• – independent professionals.