Territorial Jurisdiction in Composition Proceedings: The Crucial Clarification of Ruling No. 9371 of 2025

The law of business crisis is constantly evolving. Ruling No. 9371 of 09/04/2025 by the Court of Cassation provides a significant clarification on the matter of composition proceedings, focusing on territorial jurisdiction. This decision, arising from the appeal of A. L. against B. and which rejected the ruling of the Court of Rome, offers an authoritative interpretation for businesses and legal professionals, precisely defining the moment when the judge can ex officio note the lack of jurisdiction.

Composition Proceedings: Tool and Relevance

Composition proceedings, governed by Legislative Decree No. 14 of 2019 (Code of Business Crisis and Insolvency - CCII), are an essential tool to enable companies in crisis to restructure their debts and avoid liquidation. The procedure requires a proposal, a plan, and detailed documentation. Identifying the competent court is an indispensable prerequisite, but the timing of the ex officio notice of such lack of jurisdiction has generated uncertainties, now resolved by the Cassation Court.

The Moment of Ex Officio Notice of Lack of Jurisdiction

Article 27 of Legislative Decree No. 14 of 2019 governs territorial jurisdiction for composition proceedings. The central issue, addressed by the Supreme Court, concerns the deadline within which the judge can, on their own initiative, raise an objection of lack of jurisdiction. This aspect is crucial for the speed and certainty of the proceedings. Ruling No. 9371 of 2025 provides a definitive answer, anchoring this deadline to a well-defined procedural moment, in line with the principles of procedural economy and fairness.

In matters of ordinary composition proceedings and with reservation, the deadline for ex officio notice of territorial lack of jurisdiction pursuant to art. 27 of Legislative Decree No. 14 of 2019 is to be identified at the moment when the judge has all the elements to make such an assessment and, therefore, when the proposal, the plan, and the documentation referred to in art. 39, paragraphs 1, 2, and 3 of the aforementioned decree have been submitted, coinciding with the deliberative moment of admission or non-admission to the contractual procedure for managing the company crisis.

The Cassation Court establishes that the judge can ex officio note territorial lack of jurisdiction only when they have at their disposal the entire documentation provided for by art. 39, paragraphs 1, 2, and 3 of the CCII. This moment coincides with the deliberative phase of admission or non-admission to the composition proceedings. It is not a power that can be exercised at any stage, but only when the investigative framework is complete. This interpretation ensures that the objection is not raised prematurely, avoiding delays, but also not too late, prejudicing the regularity of the procedure. The ruling emphasizes the importance of complete documentary submission, which includes:

• Report on the asset, economic, and financial situation.
• List of creditors indicating claims and grounds for preference.
• Tax documentation for the last three fiscal years.

This approach, which draws on principles from the Code of Civil Procedure (arts. 5 and 38) and continues previous case law (such as Ruling No. 907 of 2017), aims to balance the need for correct forum identification with the necessity of not hindering the company's recovery path.

Conclusions

Ruling No. 9371 of 2025 by the Cassation Court is a landmark decision in insolvency jurisprudence. By setting the moment for ex officio notice of territorial lack of jurisdiction in composition proceedings, it brings greater legal certainty and promotes more efficient management of business crises. For professionals and companies, this means greater awareness of the importance of scrupulous and timely documentary preparation, an indispensable prerequisite for the correct initiation and conduct of these delicate procedures.