With Regulation 2015/848[1] (the “Insolvency Proceedings Regulation”), the European Union (EU) has enacted a set of rules designed to establish jurisdiction in insolvency proceedings. As in the case of several recently enacted EU directives and regulations, the cornerstone of the Insolvency Proceedings Regulation and criteria to establish jurisdiction is the debtor’s “center of main interests” (COMI).

Perhaps against expectations, 2024 included considerable bankruptcy activity in the U.S. However, the number of filings under chapter 15 of the Bankruptcy Code, which implements the UN Model Law on Cross-Border Insolvency and provides bankruptcy courts authority to recognize foreign insolvency proceedings, enforce orders of the foreign court, and grant related relief and assistance, remained close to preceding years.

McDermott International

The restructuring of Houston-headquartered McDermott International, a global engineering group, was the biggest and most important restructuring in 2023/24 in terms of jurisdictions involved, innovation, degree of opposition and quantum. Against fierce opposition in multiple jurisdictions, the debtors successfully consummated this c.$5 billion restructuring via a U.K.

Author’s Note: This is an edited excerpt from the author’s forthcoming master’s thesis, a larger-scope comparative study on “wrongful trading” in England under Insolvency Act 1986, s 214 and the tort of “deepening insolvency” in some U.S. states.

Mexico City, September 8-10, 2024

The ABI International Latin America Insolvency Symposium took place in Mexico City Sept. 8-10, 2024, bringing together prominent bankruptcy judges and experienced practitioners. The event provided a comprehensive exploration of Latin America’s evolving insolvency and economic landscape, offering attendees practical insights and opportunities to deepen their professional connections.