Can a winding-up petition be presented when a company is being wounded up voluntarily?
The Indian Supreme Court holds in Ebix[1] that once a Resolution Plan has been approved by the Committee of Creditors (CoC),it cannot be withdrawn by the Successful Resolution Applicant(“SRA”). It comes to this conclusion by holding that principle applicable under common law or the contract act, viz frustration or force majeure, are not available to the SRA under the Insolvency and Bankruptcy Code (“Code”) regime.
A Texas judge rejected a request by one of Brazos Electric Power Cooperative’s (Brazos) creditors to arbitrate a contract dispute with Brazos over a shared coal plant, citing concerns that the arbitration could delay the bankruptcy case. Brazos is currently in a bankruptcy proceeding stemming from the historic 2021 Texas winter storm.
The Grand Court of the Cayman Islands has recently ruled In the Matter of Formation Group (Cayman) Fund I, LP (Formation) 1 that it is possible to bring a just and equitable petition to wind-up an exempted limited partnership (ELP) in its own name, as opposed to that of the general partner (GP). This decision contradicts aspects of Justice Parker's judgment In The Matter of Padma Fund LP (Padma). 2 In this update, we consider these conflicting first instance decisions.
Case Background
14th June, 2022 -The Court of Final Appeal (“CFA”) handed down a judgment inShandong Chenming Paper Holdings Limited v Arjowiggins HKK 2 Limited [2022] HKCFA 11 (“CFA Decision”) yesterday, ruling on the nature of benefits conferred by a winding up order required to wind up a foreign incorporated company.
A confession of judgment clause may allow a creditor to seek a judgment immediately against the debtor if the debtor fails to pay an obligation. Confession-of-judgment clauses, by which a debtor waives most rights to contest a debt, often appear in contracts, promissory notes, guaranties and other agreements. Signing a confession-of-judgment clause may help a debtor get credit not otherwise available. But although the confession-of-judgment clause is designed to streamline collections, enforcing one is not always simple or easy.
It seems like a small thing: Chapter 11 debtors in two states paying lower quarterly fees than Chapter 11 debtors in the other 48 states.
What’s the big deal?
Alabama and North Carolina throw a political hissy fit, three or four decades ago. They want their own Bankruptcy Administrator system (not the U.S. Trustee system established everywhere else). And they are rewarded. The reward includes lower quarterly fees.
Where’s the harm in lower quarterly fees? What follows is an attempt to:
For a creditor to initiate a Corporate Insolvency Resolution Proceeding (CIRP) against a debtor, the debt owed to them should be “Financial Debt” under Section 5(8) of the Insolvency and Bankruptcy Code (IBC), 2016.
第１ はじめに
事業再生型の民事再生手続において、再生手続実施者と 再生債権者との再生計画案の賛成議決権行使の合意に向 けた活動が行われます。特に、従前の取引先との関係を維 持しながら、再生債務者の事業を立て直す方法による再建 計画の場合には、再生計画案の認可確定がなければ、全て の事業再生計画が頓挫してしまいます。その意味では、再生 手続実施者にとっては、再生計画案の賛成議決権行使の合 意に向けた行動は、これを否定すべきものではなく、再生債 務者の事業再生を現実に実現するために必要不可欠である 場合もあります。このことは、DIP型であるか管理型を問わ ず、大変重要な問題となります。
第２ 再生手続における「賛成議決権行使和解契 約」についての問題提起
この問題をテーマとして扱う理由は、「賛成議決権行使和 解」の意味が注目されるに至ったことによります。この契機と なったのが最高裁令和3年12月22日決定〔本決定〕です。本 決定の内容と意義については、秋田弁護士が2022年4月の Newsletter（下記のURL）で報告〔以下、〔秋田報告〕といいま す〕しています。
Judicial comments cast doubt on the ability to compromise US law-governed debt effectively based on Chapter 15 recognition alone.