The problem of bankruptcy in EU countries in modern conditions

Abstract

The relevance of the study is due to the consequences of the COVID-19 pandemic, which fundamentally changed the global economy, provoking a global recession. Legal entities suffered significant losses, being the main subjects of economic activity and, as a result, individuals became insolvent. This was followed by the energy crisis, which caused a second recession and massive bankruptcy of businesses and individuals - consumers. In the conditions of a difficult epidemiological, economic and geopolitical situation, the EU countries were forced to create additional legal mechanisms in order to more effectively regulate the institution of bankruptcy. The purpose of the study is to analyze the consequences of the COVID-19 pandemic and the energy crisis, their impact on the growth of bankruptcies in the EU countries and measures taken to improve the economy and protect the fundamental rights of individuals to return them to economic circulation. The trends and conclusions formulated by the author made it possible to emphasize the importance of applying bankruptcy proceedings. The article uses theoretical and empirical research methods.