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    What Is the Difference Between Pre-Packaged and Pre-Negotiated Bankruptcy Plans, and What Are Restructuring Support Agreements?
    2024-06-27

    Unlike traditional Chapter 11 bankruptcy cases, sometimes called "free fall" cases, where a debtor files for bankruptcy and determines its path out of bankruptcy over the course of the following months, some debtors enter into bankruptcy with a plan entirely (or mostly) drafted, with an emergence strategy already completed. In these cases, debtors enter bankruptcy with pre-packaged plans or pre-negotiated plans (sometimes called pre-arranged plans) ready to file on or just after their petition date.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Troutman Pepper
    Location:
    USA
    Firm:
    Troutman Pepper
    Arbeitsrechtliche Aspekte im Rahmen einer Sanierung nach dem StaRUG
    2024-06-27

    Das StaRUG eignet sich insbesondere für finanzielle, weniger für personelle, Restrukturierungen

    Das Gesetz über den Stabilisierungs- und Restrukturierungsrahmen für Unternehmen,kurz „StaRUG″ ist zum 1. Januar 2021 in Kraft getreten und setzt die sog. Restrukturierungsrichtlinie (Richtlinie [EU] 2019/1023) um.

    Filed under:
    European Union, Germany, Banking, Employment & Labor, Insolvency & Restructuring, Litigation, CMS Germany
    Authors:
    Dr. Boris Alles , Dr. Felix Fuchs , Dr. Veronika Hefner
    Location:
    European Union, Germany
    Firm:
    CMS Germany
    Unpacking Directors’ Duties to Creditors: A Close Look at the OP3 International Decision
    2024-06-27

    The Court of Appeal has, in Foo Kian Beng v OP3 International Pte Ltd (in liquidation) [2024] SGCA 10 (OP3 International), comprehensively considered the contours of a director’s duty to consider the interest of creditors in certain circumstances (Creditor Duty). In this important decision, the apex court examined when the Creditor Duty first becomes engaged as well as the nature, scope and content of the duty.

    Filed under:
    United Kingdom, Company & Commercial, Insolvency & Restructuring, Litigation, WongPartnership – Restructuring & Insolvency, UK Supreme Court
    Authors:
    Lionel Leo , Joel Chng , Stephanie Yeo , Tan Kai Yun , Joy TAN , Kevin HO
    Location:
    United Kingdom
    Firm:
    WongPartnership – Restructuring & Insolvency
    What a creditor needs to know about liquidating an insolvent Cayman company
    2024-06-27

    Hector Robinson KC

    Partner | Cayman Islands

    Justine Lau

    Partner | Hong Kong

    Nicholas Fox

    Partner | Cayman Islands

    Peter Hayden

    Partner | Cayman Islands

    Simon Dickson

    Partner | Cayman Islands

    Guide

    This guide examines what a creditor needs to know about liquidating an insolvent Cayman company under the Cayman Companies Act (2020 Revision) and the Companies Winding Up Rules, 2018.

    Filed under:
    Cayman Islands, Insolvency & Restructuring, Mourant
    Location:
    Cayman Islands
    Firm:
    Mourant
    Supreme Court Strikes Down Nonconsensual Third Party Releases in Bankruptcy Plans, Upending Longstanding Reorganization Tool
    2024-06-28

    In a decision that will have substantial impact on the owners of businesses that seek relief in bankruptcy where the business owners themselves seek releases from personal liability, the U.S. Supreme Court has struck down the validity of nonconsensual third-party releases in an opinion issued Thursday, June 27, 2024. The case arose from the bankruptcy proceedings of drugmaker Purdue Pharma, owned by Sackler family members. The decision potentially exposes the Sackler family members to personal liability relating to Purdue Pharma’s sale of opioid medications.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Lewis Rice LLC, Supreme Court of the United States
    Authors:
    John J. Hall
    Location:
    USA
    Firm:
    Lewis Rice LLC
    High Court says keep calm and don't get wound up (if you have foreign immunity)
    2024-06-27

    In this week’s TGIF, we examine the High Court’s recent decision in Greylag Goose Leasing 1410 Designated Activity Company & Anor v P T Garuda Indonesia Ltd [2024] HCA 21. In the decision, a majority of the High Court upheld the New South Wales Court of Appeal decision that foreign state immunity extends to a state-owned national airline subject to winding-up proceedings.

    Filed under:
    Australia, Insolvency & Restructuring, Litigation, Corrs Chambers Westgarth, Private equity, Corporations Act 2001 (Australia), Foreign States Immunities Act 1985 (Australia), New South Wales Court of Appeal
    Authors:
    Alicia Salvo
    Location:
    Australia
    Firm:
    Corrs Chambers Westgarth
    Market overview
    2024-06-27

    Welcome to the 2024 edition of "From Red to Black", our annual review of significant developments and topical issues in the Australian restructuring and insolvency market.

    Regulator intervention and government stimulus packages in response to market shocks often mask underlying systemic distress and disrupt economic cycles. With companies now largely weaned off COVID-19 support packages, insolvencies have significantly increased.

    Filed under:
    Australia, Insolvency & Restructuring, Clayton Utz, Insolvency, Australian Taxation Office
    Authors:
    Nick Poole
    Location:
    Australia
    Firm:
    Clayton Utz
    Insolvency and tech - burning bright and fast: the cash runway challenge and navigating insolvency
    2024-06-27

    By following certain steps and focusing on relevant courses of action, directors of startups can leverage the Safe Harbour provisions to increase their chances of navigating financial difficulties and achieving a better outcome for their company.

    Filed under:
    Australia, Insolvency & Restructuring, Clayton Utz, Blockchain, Crowdfunding, Electric vehicle, Venture capital, Fintech, Insolvency
    Authors:
    Nick Poole , Anthony Burke
    Location:
    Australia
    Firm:
    Clayton Utz
    Group insolvency under IBC: These are the changing trends in India
    2024-06-29

    The IBBI Working Group on Group Insolvency (under the chairmanship of UK Sinha) and the MCA Cross Border Insolvency Rules/Regulations Committee having submitted their reports (collectively “Reports”) had recommended the introduction of a framework governing the resolution of enterprise groups under the Insolvency and Bankruptcy Code, 2016 (“IBC”) in September 2019 and December 2021 respectively.

    Filed under:
    India, Insolvency & Restructuring, Litigation, Shardul Amarchand Mangaldas & Co, Insolvency and Bankruptcy Code (India), Supreme Court of India, National Company Law Tribunal
    Authors:
    Anoop Rawat , Ahkam Khan
    Location:
    India
    Firm:
    Shardul Amarchand Mangaldas & Co
    Wrongful trading and trading misfeasance: Insights from the BHS decision
    2024-06-28

    The High Court has found the former directors of collapsed retail chain BHS liable for wrongful trading, misfeasant trading and individual acts of misfeasance.

    Although overall quantum is yet to be decided, this has been widely reported as the largest wrongful trading award the courts have made since the introduction of the Insolvency Act 1986.

    Filed under:
    United Kingdom, Insolvency & Restructuring, Litigation, TLT LLP, Companies Act 2006 (UK)
    Authors:
    Tessa Durham
    Location:
    United Kingdom
    Firm:
    TLT LLP

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