Hilde Laga quoted over Fortis legal battle

Fortis Bank was one of the first European casualties of the current financial crisis. The government took the decision to sell the bank to BNP Paribas without holding a general meeting with the shareholders of Fortis Holding. The deal was challenged and after a judgment favorable to the transaction in first instance, the Court of appeal upheld the decision to give Fortis shareholders a say in the transaction. Hilde Laga believes that “decisions of the courts are very dangerous when they are unsubstantiated.” Indeed, even though such decisions remain temporary they can have definitive consequences. The ruling of the court has led to a general meeting being held during which the shareholders voted against the decision of the board of directors. A number of legal conclusions are missing as regards the facts. The draft selling agreement remains valid recalls Mrs. Laga: “will BNP take the risk of enforcing the draft agreement, when such a decision could lead the shareholders to pursue their legal actions and create uncertainty to challenge the sale of the bank.” Mrs. Laga finds the situation hazardous enough to bring summary judgements in Belgium to the level of a political debate.

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