Navigating uncharted waters: the implementation of the EU Directive on Preventive Restructuring Frameworks in Luxembourg

The Business Preservation Law (BPL), adopted in August 2023, marks a milestone in modernising Luxembourg’s insolvency framework, aligning it with Directive (EU) 2019/1023. This paper analyses the BPL’s integration within Luxembourg law, highlighting key features such as early intervention mechanisms, stay of enforcement actions, and court-supervised restructuring plans. It assesses how the reform addresses longstanding deficiencies, promotes business continuity, and fosters a culture of early restructuring, while identifying initial challenges. Offering a first critical appraisal, this contribution positions the BPL as a pivotal step towards a more resilient and competitive restructuring framework.