Substantive Consolidation in India

Courts administering India’s insolvency and restructuring law, the Insolvency and Bankruptcy Code 2016 (IBC), have been grappling with the challenges posed by corporate group insolvencies. Many Indian businesses operate through family-controlled group structures, and their insolvency has been a matter of considerable public concern in India in recent years, particularly with real estate development groups.[1]

Byers v Saudi National Bank [2023] UKSC 51: Supreme Court Offers...

The English Supreme Court has dismissed an equitable personal claim in knowing receipt brought by Saad Investments Co. Ltd. and its joint liquidators (Saad) against a Saudi Arabian financial institution, and in doing so provided welcome elucidation on the cause of action — the law on which “has perplexed judges and academics alike for several decades.”[1]

Co-Chairs’ Corner

Season’s Greetings from the ABI International Committee leadership. It is hard to believe how quickly pumpkin spice and caramel apples have turned into peppermint mocha and eggnog. The weather is turning colder, and the holidays are quickly approaching. We hope that the end of 2023 brings you time with family and friends, and maybe even a little bit of international travel. We wish you and your family health, happiness and prosperity in 2024.

International Committee Webinar Update

On October 17, the International Committee hosted the initial webinar in its planned series of “Directors’ Duties Across Borders in the Insolvency Zone.” The first episode focused on Europe, with speakers from France (Alexandre Koenig of Stephenson Harwood), Germany (Bernd Meyer-Loewy of Kirkland & Ellis), Ireland (Gemma Freeman of Dentons) and the Netherlands (Krijn Hoogenboezem of Resor).

Ultimate Beneficial Bondholder Has Standing to Wind Up Issuer

The British Virgin Islands Court has reached a different conclusion to the courts of Bermuda, Cayman Islands and Hong Kong in holding that, in certain circumstances, ultimate beneficial bondholders have standing as contingent creditors to make applications for the appointment of liquidators to bond issuers, without the need to show a direct pre-existing contractual relationship with the issuer.

Enforcement of Foreign Arbitral Awards in the Cayman Islands

The Cayman Islands implemented the Convention on the Recognition and Enforcement of Foreign Arbitral Awards (otherwise known as the “New York Convention”) via the Foreign Arbitral Awards Enforcement Act (1997 Revision) (the “Enforcement Act”). As such, arbitral awards made in any state that is a party to the New York Convention (“Convention Awards” can be recognised and enforced in the Cayman Islands under the Enforcement Act.