1. Introduction     

The longstanding debate surrounding the prioritization of crown debts vis-à-vis private debts has entered a new chapter with the advent of the Insolvency and Bankruptcy Code, 2016 (“IBC”). Prior to the IBC, the common law principle generally granted crown debts preferential status over unsecured debts. This historical primacy stemmed from the sovereign's role as the embodiment of the public good, requiring unimpeded revenue collection for the smooth functioning of the State.

第3回は、「フリーマネーからオペレーショナル・エクセレンスへ」

世界経済は2023年の多くの予想を上回り、2024年に順調なスタートを切ったようだ。中央銀行は、景気後退を回避しながらインフレを抑制するという、捉えどころのないソフトランディングを成し遂げようとしている。

金利は今年中に低下し始めると見込まれるが、中央銀行はインフレを確実に抑制するために金利を高い水準に維持する決意を示している。市場では高金利の長期化のムードが続いており、昨年の米国金利は10年ぶりの高水準を記録し、10年国債の利回りは16年ぶりに5％の閾値を超え、低格付けクレジットの利回りは2008年の金融危機以来のピークに達した。アリックスパートナーズが毎年発表しているディスラプション・インデックスでは、CEOが2024年に自社のビジネスが直面する最大の脅威として「金利」と「インフレ」を挙げている。

このような事業環境を考えれば、倒産が増加しているのは当然だ。昨年、米国の倒産件数は金融危機以来の水準となった。とはいえ、歴史を振り返ってみると、現在の資本コストは特別に高いわけではないことは認識しておくと良いだろう。いまこそ企業は10年間にわたるフリーマネー時代に萎縮した筋肉を鍛えるタイミングだ。これ以降で３つのポイントを紹介する。

Just over a year ago, the Alberta Court of King’s Bench (“ACKB”) decision in Qualex-Landmark Towers v 12-10 Capital Corp (“Qualex”)[1] extended the application of an environmental regulator’s priority entitlements in bankruptcy and insolvency to civ

Can a creditor obtain a winding up order against a debtor company if the underlying dispute over the debt is subject to an arbitration agreement between the parties?

Delaware’s Court of Chancery has no subject matter jurisdiction over an assignment for benefit of creditors proceeding when the debtor/assignor is an Illinois corporation with no assets or operations in Delaware, even when its ABC assignee/trustee is from Delaware.

That’s the decision of Delaware’s Court of Chancery in In re Vernon Hills Serv. Co., 2024 Del. Ch., C.A. No. 2021-0783 (issued March 28, 2024).

Facts

The Supreme Court (SC) in Global Credit Capital Limited & Anr v. Sach Marketing Private Limited & Anr, 2024 SCC OnLine SC 649 upheld the judgment and order of the National Company Law Appellate Tribunal, New Delhi Bench (NCLAT), dated 07 October 2021 (Impugned Order) by which Sach Marketing Private Limited (Sach) was held to be a ‘financial creditor’ of Mount Shivalik Industries Limited, the corporate debtor, (CD) in corporate insolvency resolution proceedings under the provisions of the Insolvency & Bankruptcy Code, 2016 (IBC).

In its recent judgement of Foo Kian Beng v OP3 International Pte. Ltd. [2024] SGCA 10, the Singapore Court of Appeal laid down some key principles regarding the scope of directors' duties to creditors, i.e. the "creditor duty". These principles serve as useful guidance not just for directors to understand how they should discharge their duties but also for creditors seeking to hold directors to account. We set out some practical guidance for creditors on ensuring that directors discharge the "creditor duty".

What does the "creditor duty" of directors encompass?

While franchising has typically been a more robust business model than others, it remains susceptible to broader economic and sectoral pressures, as The Body Shop’s recent entry into administration demonstrates.

In the unfortunate event that a franchisor or franchisee becomes insolvent, disruption is inevitable. However, insolvency doesn’t necessarily spell a terminal outcome. In this article we consider some of the key considerations for both franchisors and franchisees.

Handling franchisee insolvency: the franchisor’s approach

2275518 Ontario Inc. v. The Toronto-Dominion Bank, 2024 ONCA 343

On May 6, 2024, the Ontario Court of Appeal upheld a summary judgment motion decision in favour of The Toronto-Dominion Bank (“TD Bank”) in 2275518 Ontario Inc. v. The Toronto-Dominion Bank, 2024 ONCA 343.^[1]

The Bombay High Court recently quashed a provision of a central government office memorandum that enabled public sector banks to request issuance of look out circulars (LoCs) against wilful defaulters. In Viraj Chetan Shah v Union of India, the court held that this provision violated the fundamental right to life (Article 21) as well as the fundamental right to equality (Article 14). The government is reportedly contemplating a statutory basis for PSBs to initiate LoCs.