Giuseppe d'Urso, Adriana Ventadori and others v Ercole Marelli Elettromeccanica Generale SpA and others (C-362/89)

Judgment of 25 Jul 1991

law://eu/cjeu/1989/c-362-89/para_31@2026-11-13

31If no decision is taken on that last matter or if the period of validity of a decision authorizing the undertaking to continue trading has expired, the aim, consequences and risks of a procedure such as the compulsory administrative liquidation procedure are comparable to those which led this Court to conclude, in its judgment in the Abels case, that Article 1(1) of the Directive did not apply to transfers of an undertaking, business or part of a business in a situation in which the transferor had been adjudged insolvent. Like insolvency proceedings, that procedure is designed to liquidate the debtor's assets in order to satisfy the body of creditors, and transfers effected under this legal framework are consequently excluded from the scope of the Directive. As the Court pointed out in its judgment in Abels, without that exclusion, a serious risk of a general deterioration in the living and working conditions of workers, contrary to the social objectives of the Treaty, could not be ruled out.

Giuseppe d'Urso, Adriana Ventadori and others v Ercole Marelli Elettromeccanica Generale SpA and others (C-362/89)

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