Over the past few months, Delaware courts have continued to address important M&A and corporate issues. Significant corporate law developments have also arisen from state and federal courts in California. Below are some highlights and practical takeaways related to important developments in Delaware law.

CORPORATE

Advance Notice Bylaws and Board Action Affecting the Stockholder Franchise.

The Government intends to enhance the UK's cross-border insolvency regime with the adoption of the UNCITRAL Model Law on Enterprise Group Insolvency (MLEG) and, after further consideration, Article X of the UNCITRAL Model Law on Recognition and Enforcement of Insolvency-Related Judgments (MLIJ).

Government concludes that the permanent Corporate Insolvency and Governance Act 2020 measures have been "broadly welcomed", although possible refinements identified A 'Post-Implementation Review' carried out by the Insolvency Service has concluded that the restructuring plan, the standalone moratorium, and the suspension of contractual termination (ipso facto) measures introduced by the Corporate Insolvency and Governance Act 2020 (CIGA) have all been broadly welcomed by stakeholders and are seen as positive additions to the UK's insolvency and restructuring framework.  The review

An interim government report has concluded that the restructuring plan, the standalone moratorium, and the restriction on contractual termination (ipso facto) measures introduced by the Corporate Insolvency and Governance Act 2020 (CIGA) satisfy their policy objectives. The report is part of the statutory review which must be carried out within three years of the measures coming into force.

In a dramatic reversal of restructuring plan fortunes, HRMC recently successfully challenged two independent mid-market Part 26A Companies Act 2006 restructuring plans: the Nasmyth Group Limited Restructuring Plan (the Nasmyth RP) and the Great Annual Savings Company Ltd Restructuring Plan (the GAS RP). To date, only one other restructuring plan has been refused sanction.

In its recent judgment in Guy Kwok-Hung Lam v Tor Asia Credit Master Fund LP [2023] HKCFA 9, the Court of Final Appeal of Hong Kong has provided guidance as to how an exclusive jurisdiction clause in a financing agreement impacts on the ability to bring a bankruptcy or winding up petition in Hong Kong. In light of prior inconsistent judgments on the issue, the CFA decision provides welcome clarity as to the impact of exclusive jurisdiction clause on insolvency proceedings and when it may still be appropriate to commence them.

Background

This Quickguide explains the two most common forms to bring a solvent company's life to an end and explains the processes involved in each, as well as in which circumstance which option may be best suited.

Strike-off or members' voluntary liquidation?

When a company has fulfilled its economic purpose or a group of companies wishes to consolidate its structure, there are two main options available to bring a solvent company to an end:

German real estate group restructuring plan sanctioned in London

Having failed to get its restructuring solution through in its home jurisdiction, beleaguered German real estate group, Adler, turned to London. After substituting a UK plc as issuer of six series of notes in order to propose an English restructuring plan, and in the face of fierce opposition from an ad hoc committee of 2029 noteholders (AHG), the group successfully forced the plan through just in time.

Introducción

Este mes destacamos especialmente dos resoluciones judiciales recaídas en relación a dos planes de restructuración: (i) una es la sentencia de la audiencia provincial de la Coruña que resuelve sobre la impugnación del plan de XELDIST cuya homologación fue tan discutida por su peculiar formación de clases (4 de 8 de ellas eran unipersonales) (ii) otra la homologación del plan de SINGLE HOME que sale adelante con el voto favorable tan solo de la clase de los especialmente relacionados.

© 2023 Greenberg Traurig, LLP Alert | Troubled Bank Task Force April 2023 The 2023 Banking Crisis: Updated Questions & Answers for Insured and Uninsured Depositors, Other Affected Parties Silicon Valley Bank Failure, Receivership and Sale On March 10, 2023, the California Department of Financial Protection and Innovation closed Silicon Valley Bank, Santa Clara, CA (SVB) and appointed the Federal Deposit Insurance Corporation (FDIC) receiver of SVB.