Summary
In the case at hand, Z company, which was an indirect shareholder of a GmbH (a German limited liability company), had given two loans to that GmbH. In 2009, insolvency proceedings were opened over the assets of the GmbH on the grounds of illiquidity and over-indebtedness. Z company initially filed its loan receivables with the insolvency schedule.
During judicial litigation, the insolvency administrator and Z company entered into a settlement in 2014, under which Z company undertook to “withdraw” the claims filed with the insolvency schedule and to cease asserting them in the insolvency proceedings. In return, the insolvency administrator waived an insolvency avoidance claim (Insolvenzanfechtungsanspruch) against Z company….