Skip to comments.English law set to rule new Greek bonds
Posted on 01/16/2012 3:19:31 PM PST by dynachrome
In a paper entitled Greek debt: The endgame scenarios, Buchheit, one of the most prominent lawyers globally in debt restructuring cases, said that that the restructuring could be facilitated in some way by a change to Greek law.
If English law is applied to the new bonds issued under the complex PSI, the Greek side would have to face the following consequences: Property confiscation: According to international law as well as many national legal systems, when a property is located within the jurisdiction of the legislating state, the latter has the power (de facto or by law) to nationalise or transfer property without compensation. The Wall Street Journal reported on January 5 that Greece has agreed to consider that the new bonds be governed by English law, which means creditors would be allowed to seize Greek assets if the country fails on its payments.
(Excerpt) Read more at athensnews.gr ...
What Greek assets? Those Greek assets inside the country who loaned the money to Greece?
Or do you get to pick some Greek owned Islands as new territory for the loaning country. Or both?- Tom