Summary
The German seller, filed an application for exemption from the insolvency assets of certain goods. The applicant stated that the goods in question are not the property of the bankrupt company, because the contract for the sale of goods was not properly performed. The applicant argued that because the parties to the contract had expressly chose German law to govern, pursuant to Art 3. Of the Rome 1 regulation, German law shall apply. The court of first instance rejected the application and stated that, according to Polish private international law, Polish law shall govern the contract in question. The court of second instance stated that Polish law shall be applicable, but not according to the provisions of Polish private international law. It stated that the case shall be governed by the law indicated by Regulation no. 1346/2000 on insolvency proceedings The appellate court emphasised that according to Art. 4 par. 1 of Regulation no. 1346/2000, the law applicable to insolvency proceedings and their effects shall be that of the Member State within the territory of which such proceedings are opened: Poland.