Catalonian Civil Code Reform for Pledges to Secure Multiple Obligations Is Finally Approved

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The Catalonian Parliament approves the same measure it passed in 2019 but abrogated by failing to ratify it in time.

On 21 May 2019, the Catalonian legislature passed Decree 9/2019 to modify certain articles of the Catalonian Civil Code to allow pledges to secure multiple obligations, as we previously highlighted. However, the Parliament voted against the decree’s ratification on 26 June 2019, effectively abrogating it (as previously discussed). On 30 April, law 5/2020 was published in the Catalonian Public Gazette and the prohibition against creating successive pledges was finally removed.

Please see full publication below for more information.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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