Committee Articles

ABI International Committee Co-Chair Corner 2019

It has been another great year for the International Committee. As co-chairs, we would like to thank all the members of the ABI International Committee for their support and continued participation on the committee for 2019. The committee’s success reflects the hard work of its members each year.

As always, we also thank the support of the ABI staff and the ABI Board of Directors, both of whom helped to facilitate and guide our work throughout the year.

Jet Airways: The First Indian Company to Undergo Cross-Border Ins...

This article addresses the legal issues arising from the cross-border insolvency proceedings for Jet Airways Ltd., India’s largest private airline, which maintained flight routes around the world but stopped flying on April 17, 2019. Jet Airways is the first Indian airline company to undergo cross-border insolvency proceedings under the provisions of Insolvency and Bankruptcy Code, 2016 (IBC) from India.

Pick a Date: The Debate About When to Determine a Debtor’s COMI

The United Nations Commission on International Trade Law promulgated the Model Law on Cross-Border Insolvency (Model Law) as “a uniform approach” to having one proceeding — a foreign main proceeding — be principally responsible for managing a debtor’s insolvency regardless of the number of jurisdictions in which the debtor has assets or creditors.[1] Many jurisdictions have adopted the Model Law, including the U.S.

The Highs and Lows of Serving Canada’s Newest Emerging Market: Financial Strategies to Manage the Opportunities and Risks of the Cannabis Sector

As Canada moves toward marijuana legalization in 2018, the cannabis industry is quickly emerging as one of the most promising Canadian markets. Early estimates predict that the medical/recreational cannabis industry will reach $10 billion by 2020, offering exciting opportunities for astute entrepreneurs.

Urbancorp: The Promised Land (of Insolvency)?

The collapse of the Urbancorp group of companies has provided an opportunity for an unusual interplay of bankruptcy proceedings between Canada and Israel. The courts in both countries have had to address issues and demonstrate significant judicial cooperation between two countries with vastly different legal systems. This article provides a brief background around the companies and touches on three of the orders that are of interest to practitioners from an international perspective.

One Step Toward Chapter 11: Australian Safe Harbour Reform

The new safe harbour from insolvent trading is the most significant change to corporate insolvency law in Australia since the introduction of voluntary administration in 1993. Before the reform was enacted, directors of insolvent companies were effectively mandated to appoint a voluntary administrator. The new safe harbour encourages directors to attempt an informal turnaround upon insolvency rather than immediately appointing a voluntary administrator or liquidator.


Transnational Insolvency in Brazil

The Brazilian Bankruptcy Law — enacted in February 2005 — has not adopted the UNCITRAL Model Law regarding transnational insolvency. In fact, Brazilian law is laconic in this regard and only says that the court of the place where the debtor has its main establishment or where the branch of a foreign company is located is the competent court to grant judicial reorganization or to declare the debtor bankrupt (art. 3º).