On 20 July 2022, the Luxembourg law amending, amongst others, the Luxembourg law of 5 August 2005 on financial collateral arrangements, as amended (the "Financial Collateral Law") was published in the Luxembourg official gazette (the "New Law"). The New Law became effective on 24 July 2022.
In an article published on 14 January 2022, we summarised the highlights of the draft of this New Law (Draft law No. 7933). The New Law provides helpful clarification on what can be deemed an enforcement event in a financial collateral arrangement and also amends the provision of the existing law which describes the methods of enforcement. For a comprehensive overview of the changes introduced by the New Law we refer you to our previous newsletter article on the topic.