Solving disputes

Economics Economics Questions
1

In Romania, an egg-producer sued the hypermarket chain, METRO, because METRO had a 57.000 Euro debt that it can pay, but failed to do so at the term it was due.

There is a law that sais that the egg-producer can ask a court to put METRO in insolvency.

Is this okay or an abuse, according to Libertarian principles? How would Libertarians solve it - would there be the threat with bankrupcy?

2

Yes, because implicit in the contract between Egg-Producer and Metro is the rule of law by Romania.

No, because the rule of law should not govern the voluntary contract between Egg-Producer and Metro.

As you can tell, I do not have the definative answer, but perhaps this will get the ball rolling.