Introduction

This Guide explains the procedure for administration order proceedings in respect of Guernsey companies.

Administration orders

The purpose of administration orders

The provisions for Guernsey companies to be placed into administration are set out in Part XXI of the Companies (Guernsey) Law, 2008 (the Law).

Introduction

This Guide explains the procedure for liquidation proceedings in Guernsey, which are separated into two types: (i) voluntary liquidation and (ii) compulsory liquidation.

Liquidation proceedings

Voluntary liquidation

The provisions for the voluntarily winding up a company under Guernsey law are set out in Part XXII of the Companies (Guernsey) Law, 2008 (the Law).

Commencement

Amendment to Bankruptcy Rule 3002

Certain amendments to the Federal Rules of Bankruptcy Procedure (the “Bankruptcy Rules”) will become effective in all cases commencing after December 1, 2017.1

The amendment to Bankruptcy Rule 3002 is significant. As explained in detail below, the amendment does the following:

It's time to make offshore operations great again

In an opinion with serious implications for the treatment of overriding royalty interests ("ORRIs"), a Southern District of Texas Bankruptcy Court ruled that under Louisiana law, an ORRI could be recharacterized as debt rather than a royalty interest, even if the conveyance was facially consistent with an ORRI. An ORRI that is treated as debt would likely have a much lower priority for payment in bankruptcy than an ORRI treated as a royalty interest.

Oil and gas producers in Texas and a handful of other states have had the comfort of believing that they held purchase money security interests against the production in the hands of first purchasers and proceeds of that production. Now, the law supporting that belief has come under fire.