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    Strategise before you strike - Recent cases concerning Hong Kong court’s powers to wind up foreign companies and recognise foreign insolvencies
    2022-07-19

    The Court of Final Appeal (the CFA) has recently clarified whether a Hong Kong court should exercise its winding-up jurisdiction over foreign companies if the petitioner would derive benefit from the invocation of the court’s winding-up process but not from the making of a winding-up order [1].

    Filed under:
    Hong Kong, Insolvency & Restructuring, Litigation, Slaughter and May
    Location:
    Hong Kong
    Firm:
    Slaughter and May
    Mediation-In-Bankruptcy: An Effective, But Difficult, Tool For Resolving Mass Tort Disputes
    2022-07-19

    Mediation-in-bankruptcy has been an effective tool for resolving mass tort cases.

    That effectiveness has been for the benefit of all parties involved, such as:

    Filed under:
    USA, Arbitration & ADR, Insolvency & Restructuring, Litigation, Koley Jessen PC, Mediation, United States bankruptcy court
    Authors:
    Donald L. Swanson
    Location:
    USA
    Firm:
    Koley Jessen PC
    Between the lines- July, 2022
    2022-07-19

    Between the lines... For Private Circulation-Educational & Information purpose only Vaish Associates Advocates… Distinct. By Experience. I. Supreme Court: NCLT/NCLAT should not sit in appeal over commercial wisdom of the CoC to allow withdrawal of CIRP. The Hon’ble Supreme Court (“SC”) has in its judgment dated June 3, 2022, in the matter of Vallal RCK v. M/s. Siva Industries and Holdings Limited and Others [Civil Appeal Nos.

    Filed under:
    India, Arbitration & ADR, Capital Markets, Insolvency & Restructuring, Litigation, White Collar Crime, Vaish Associates Advocates, Coronavirus, Anti-money laundering, Securities and Exchange Board of India, Insolvency and Bankruptcy Code (India), National Company Law Tribunal
    Location:
    India
    Firm:
    Vaish Associates Advocates
    Can a Chapter 15 order discharge US law governed debt for the purposes of the rule in Gibbs? The Rare Earth decision and beyond
    2022-07-19

    On 6 June 2022, Mr Justice Harris sanctioned a Hong Kong scheme of arrangement for Rare Earth Magnesium Technology Group (the Company) in re Rare Earth Magnesium Technology Limited [2022] HKFCI 1686 (Rare Earth).

    Filed under:
    Hong Kong, USA, Insolvency & Restructuring, Litigation, Herbert Smith Freehills LLP
    Authors:
    Paul Apáthy , Gareth Thomas , Alexander Aitken , Peter Ng , Eric Xu
    Location:
    Hong Kong, USA
    Firm:
    Herbert Smith Freehills LLP
    Client Alert: Breaking News - Shumaker Win: 11th Circuit Court of Appeals Issues a Significant Ruling in Favor of Chapter 11 Preference Defendants
    2022-07-19

    WE WON. WE MADE NEW LAW.

    In the Chapter 11 case of Beaulieu Group, LLC (carpet industry in Dalton, Georgia) in the U.S. Bankruptcy Court for the Northern District of Georgia, we defended Auriga Polymers Inc. (a subsidiary of Indorama Ventures) in a preference claim filed by the Beaulieu Liquidating Trustee. 

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Shumaker Loop & Kendrick
    Authors:
    David H. Conaway
    Location:
    USA
    Firm:
    Shumaker Loop & Kendrick
    Section 363(m) Circuit Split Headed for SCOTUS Review
    2022-07-19

    The Supreme Court of the United States granted certiorari on June 27, 2022, to determine whether section 363(m) of the Bankruptcy Code—concerning appellate review of bankruptcy court sale orders—is jurisdictional or only limits the remedy an appellate court may fashion. This issue has split the circuit courts of appeals. The case is set for oral argument in the October 2022 term.

    Filed under:
    USA, Corporate Finance/M&A, Insolvency & Restructuring, Litigation, Vinson & Elkins LLP, Bankruptcy, Leases, Supreme Court of the United States, Second Circuit, Fifth Circuit
    Authors:
    David S. Meyer , William L. Wallander , Steven M. Abramowitz , Steven Zundell , Elias Medina
    Location:
    USA
    Firm:
    Vinson & Elkins LLP
    A guide to restructuring and insolvency issues and procedures in Hong Kong
    2022-07-20

    Hong Kong’s insolvency regime is based mainly on that of the United Kingdom. The legislation concerning corporate insolvency is contained largely in the Companies (Winding Up and Miscellaneous Provisions) Ordinance (Cap 32) (“CWUMPO”) and the Companies (Winding-up) Rules. The corporate insolvency and winding up provisions in the legislation are broadly based on the Companies Act 1929 and the Companies Act 1948 of the UK. The last major amendment of those provisions was made in 2016. 

    A guide to restructuring and insolvency issues and procedures in Hong Kong

    Contents

    Filed under:
    Asia-Pacific, China, Global, Hong Kong, Company & Commercial, Insolvency & Restructuring, Litigation, Stephenson Harwood LLP, Mediation, Securities and Futures Commission (Hong Kong)
    Location:
    Asia-Pacific, China, Global, Hong Kong
    Firm:
    Stephenson Harwood LLP
    NCLT has discretion to reject financial creditor’s CIRP application even when corporate debtor is in default
    2022-07-16

    The Supreme Court has held that Section 7(5)(a) of the Insolvency and Bankruptcy Code, 2016 confers discretionary power on the NCLT with respect to admission of application under said provision.

    The Court was however of the view that such discretionary power cannot be exercised arbitrarily or capriciously and that NCLT must consider the grounds made out by the corporate debtor against admission, on its own merits.

    Filed under:
    India, Insolvency & Restructuring, Litigation, Lakshmikumaran & Sridharan Attorneys, Insolvency and Bankruptcy Code (India), Supreme Court of India, National Company Law Tribunal
    Location:
    India
    Firm:
    Lakshmikumaran & Sridharan Attorneys
    Leave required to sue representative of trustee in bankruptcy
    2022-07-18

    Trustees in bankruptcy are granted protection from civil claims for acts and omissions under the Bankruptcy and Insolvency Act (“BIA”), as the statute requires that a plaintiff obtain leave of the court to pursue some types of claims.

    Filed under:
    Canada, Ontario, Insolvency & Restructuring, Litigation, Gardiner Roberts LLP, Power of attorney
    Authors:
    James Cook
    Location:
    Canada
    Firm:
    Gardiner Roberts LLP
    Irish High Court Makes Orders Winding Up French and US Companies
    2022-07-15

    BMR Slendertone SARL and Slendertone Distribution Inc are wholly owned subsidiaries of Bio Medical Research Limited, an Irish incorporated company involved in the manufacture of electronic muscle stimulation toning products in over 20 countries. Following an unsuccessful examinership, on 2 June 2022 Orders were made winding up the Irish company and appointing a liquidator.

    Filed under:
    Ireland, Insolvency & Restructuring, Litigation, McCann FitzGerald LLP, High Court (Ireland)
    Authors:
    Michael Murphy
    Location:
    Ireland
    Firm:
    McCann FitzGerald LLP

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