Dispute Resolution analysis: In a case where a bankruptcy was annulled on the basis that the alleged tax liability was ill-founded and misconceived, HMRC has been ordered to bear the OR’s and the trustees’ costs of the bankruptcy.
Re Adjei [2023] EWHC 1553 (Ch)
What are the practical implications of this case?
INTRODUCTION
Despite abundant case law on latent defects and what constitutes a provable claim, Quebec courts have rarely been called upon to decide an issue involving both concepts.
INTRODUCTION
Malgré la jurisprudence abondante tant en matière de vices cachés que sur la qualification de réclamation prouvable, les tribunaux québécois ont rarement eu l’opportunité de trancher une question qui réunit ces deux concepts.
The Insolvency Team at Gall continues to advise Century Sunshine Holdings Group Limited (Stock Code: 509) (the “Company”) on its debt restructuring and has successfully secured sanction of a Hong Kong scheme of arrangement (the “Hong Kong Scheme”) (as part of parallel schemes of arrangement in Hong Kong and Singapore).
How close is too close? The answer to this question can have dire implications for people and companies involved in the cannabis industry who wish to seek bankruptcy protection.
In a recent decision, Bruce v. Citigroup, Inc., et al., the United States Court of Appeals for the Second Circuit clarified the limits of bankruptcy court jurisdiction over class actions. Specifically, the court rejected a bankruptcy court’s ruling that allowed a plaintiff’s nationwide class action to survive Defendant Citibank, N.A.’s (“Citi”) motion to dismiss and strike class allegations.
Market volatility in international trade and commodities invariably results in trade defaults. As a hub for international trading companies, Singapore has seen its fair share of insolvencies and restructuring in the past few years as a section of traders felt the effects of the pandemic, the oil crash and over leveraging on unprecedented levels of liquidity.
In 2020, Congress enacted the Small Business Reorganization Act (SBA), which codified Subchapter V within Chapter 11 of the Bankruptcy Code. The newly added subchapter is remarkably powerful, and with the new additions from Congress, creates a streamlined process for small businesses to reorganize. After passing the SBA, Congress subsequently increased the applicable debt limits for businesses eligible for Subchapter V, from approximately $2.7 million to $7.5 million, which qualified many more businesses for Subchapter V relief.
Consensus remains elusive on the two major questions concerning the application of bankruptcy law in mass tort cases. In the past few months, at least five major decisions have addressed the significant issues of the availability of third-party releases and the two-step bankruptcies. Appeals have been filed or are threatened. In the meantime, the authors of a University of Chicago Law Review article argue that, as a matter of public policy, both should be available with court safeguards.
The original version of this article was first published in the Trilegal Quarterly Roundup.
Key Developments
1. Supreme Court clarifies the scope of adjudicating authority’s power to decide on a financial creditor’s insolvency application when debt and default have been established