Insolvency

Arbitration, Insolvency, Lex Arbitri, Lex Fori, New York Convention, New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards, UNCITRAL, UNCITRAL Model Law

(King's College London)/ /Leave a comment

Since 2019, Working Group (“WG”) V of UNCITRAL has been working on the adoption of a choice of law instrument that regulates the law applicable to the international effects of insolvency proceedings. The project seeks to include a rule on the law governing the impact of insolvency in arbitration. Part I of this post examines…

Arbitration, Insolvency, Lex Arbitri, Lex Fori, New York Convention, New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards, UNCITRAL, UNCITRAL Model Law

(King's College London)/ /Leave a comment

Building on Part I of this post, Part II explains the serious practical disfunctions that would derive from the adoption by Working Group V (“WG V”) at UNCITRAL of the current proposal to subject all the effects of insolvency in arbitration to the law of the State in which insolvency proceedings have been opened (the…

Arbitrability, India, Insolvency, Singapore, UK

, (Linklaters)/ /1 Comment

Arbitration and insolvency embody, to some extent, countervailing legal policies. Courts in many jurisdictions have grappled with the extent to which claims involving an insolvent company should be permitted to be resolved through arbitration. In the October 2023 decision of Indian Oil Corporation Ltd v Arcelor Mittal Nippon Steel India Ltd (“Indian Oil”), the Delhi…

England, English Arbitration Act, English courts, English Law, Insolvency, Privy Council

(WilmerHale)/ /Leave a comment

On 19 June 2024, the Privy Council issued its decision in Sian Participation Corp (In Liquidation) v Halimeda International Ltd [2024] UKPC 16, holding that winding up proceedings should not be automatically stayed or dismissed by the court where the disputed debt is subject to an arbitration agreement. Instead, the correct test to be applied…

Hong Kong, Insolvency, Singapore, UK

(University of Hong Kong)/ /Leave a comment

The impact of arbitration clauses on winding-up proceedings (i.e., if both are present, when and how can the former get prioritized over the latter) has long been an issue with diversified practices throughout various jurisdictions. With the judgment by the Hong Kong Court of Appeal (“HKCA”) in Re Simplicity & Vogue Retailing (HK) Co Limited…

India, Insolvency, Singapore, UK

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In the ever-evolving landscape of international commercial disputes, the co-existence of arbitration and insolvency-related proceedings has become a focal point. This comparative piece delves into the legal position in three key jurisdictions – Singapore, the United Kingdom, and India – and focuses on the pro-arbitration approach of deferring to the arbitral tribunal and staying (or…

Bankruptcy, Bankruptcy and arbitration, Insolvency, UNCITRAL

(King's College London)/ /Leave a comment

For the last couple of years Working Group V at UNCITRAL has been working on a project dedicated to the applicable law in insolvency proceedings. The law governing the effects of insolvency in arbitration has become one of the most contentious topics in the negotiations. The draft provisions subject to discussion in the 63rd session,…

Artificial Intelligence, Asia-Pacific, Energy Dispute, Insolvency, Intellectual Property, Northeast Asia, SIAC, SIAC Symposium 2023, Southeast Asia, Technology, Trade

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YSIAC

Following the morning session which explored the geopolitics of international arbitration, the next generation of dispute resolution and the freshly-minted draft SIAC Rules (see Part 1), the afternoon session probed into regional and topical dimensions of international arbitration through six technologically-driven and interactive panel discussions.   I. Regional Developments, Trends & Forecasts   Illuminating Top…

Appointment of arbitrators, Asia-Pacific, Climate change, Court Assistance, Expedited arbitration, Expedited Proceedings, Insolvency, Institutional Rules, Investor-State arbitration, Northeast Asia, SIAC, SIAC Symposium 2023, Singapore, Singapore International Arbitration Centre, Southeast Asia, Technology

(Sidley Austin LLP) and (Allen & Overy LLP)/ /Leave a comment
YSIAC

The Singapore International Arbitration Centre (“SIAC”) held the SIAC Symposium, its flagship conference, during the Singapore Convention Week on 28 August 2023. The SIAC Symposium featured a conversation with Minister K Shanmugam, SC (Minister for Home Affairs and Minister for Law, Singapore) and a plenary address by Justice Judith Prakash (Justice of the Court of…

ADR, Arbitrability, Insolvency

(De Brauw Blackstone Westbroek) and (Chambers of Mr. Ratan K. Singh, SA)/ /Leave a comment

The increased globalization of business and the rising popularity of arbitration as a standard method of alternative dispute resolution (“ADR“) has fostered an intersection of arbitration and insolvency. Arbitration is increasingly used to resolve various matters related to insolvency, such as cross-border debt recovery and disputes between creditors and debtors in insolvency proceedings. In the…

Arbitration, Insolvency, Spain

(Herbert Smith Freehills LLP)/ /Leave a comment
Herbert Smith Freehills

Since 2020 insolvency activity in Spain slowed down because of the moratorium declared by the Spanish government in the wake of Covid-19, under which the obligation to file for insolvency was suspended until 30 June 2022. Perhaps unsurprisingly, official statistics for the third quarter of 2022 showed a dramatic increase in the insolvency declarations within…

2022 in Review, Canada, Commercial Arbitration, Insolvency, Recognition and enforcement of arbitral award

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In 2022, Canadian courts revisited some old issues, like the timeframe for recognizing foreign arbitral awards, but also faced new dilemmas, such as the impact of sanctions on recognition and enforcement. Fostering Canada’s pro-arbitration standing, courts were generally adamant about referring commercial parties to arbitration, although a few exceptions that arose in insolvency contexts are…

Canada, Insolvency, Non-signatory, Separability

(Freshfields Bruckhaus Deringer)/ /Leave a comment

On November 10, 2022, the Supreme Court of Canada issued its decision in Peace River v Petrowest. Insolvency and arbitration practitioners alike eagerly anticipated the decision, hoping it would provide clarity on how to resolve challenges that arise when these two specialist areas of practice come together in one case.  In this post, we review…

Bankruptcy, Bermuda, BVI, Cayman Islands, China, Claims Trading, Enforcement, HK Arbitration Week, Hong Kong, Insolvency, Singapore

(Allen & Overy) and (Allen & Overy LLP)/ /Leave a comment
HK45

Allen & Overy’s webinar on the second day of Hong Kong Arbitration Week 2022 brought together six practitioners from the fields of arbitration, insolvency and enforcement to discuss the key practical and strategic considerations when acting for and against parties in financial distress. Guided through a hypothetical case study involving jurisdictions such as Hong Kong,…

Case Management, England, Insolvency, International arbitration

and (Brunel University London)/ /Leave a comment

Insolvency-related claims arising from contracts containing arbitration clauses continue to culminate in intriguing cases before the England and Wales High Court (a previous post on the Blog analysed the Riverrock Securities Limited v International Bank of St Petersburg (Joint Stock Company) [2020] EWHC 2483 (Comm)). In a recent case titled The Deposit Guarantee Fund for…

Bankruptcy, Bankruptcy and arbitration, Insolvency, Switzerland

, (rothorn legal)/ /Leave a comment

The economic havoc wreaked by the Covid-19 pandemic has resulted in a 10-year high of corporate bankruptcies in the United States in 2020. While bankruptcy levels across Europe have fallen amid the pandemic, a sharp spike in corporate bankruptcies is expected as economic support programs phase out in the coming months. This will increase the…

Bankruptcy, Brazil, COVID-19, Insolvency, International Commercial Arbitration, Latin America

(Quinn Emanuel Urquhart & Sullivan UK LLP)/ /Leave a comment

On 24 December 2020, the New Brazilian Insolvency Act (“NBIA” – a slight misnomer, as the Act is in fact an amendment to an existing statute) was published in the official Brazilian gazette. The act implements important modifications in the field, including a few related to arbitration, which came into force on 23 January 2021….

COVID-19, Energy Charter Treaty, ICSID Convention, Insolvency

, (LIPMAN KARAS)/ /Leave a comment

COVID-19 has already destroyed many businesses, and insolvencies will only increase as governments withdraw temporary protections. Recent decisions highlight the potential for external administrators of these insolvent companies to use investment treaty arbitration to recover assets, even from the state that appointed the administrators. Generally, external administrators are appointed by directors, creditors or courts to…

Anti-suit injunction, Arbitrability, English courts, Insolvency

and (Brunel University London)/ /Leave a comment

On 23 September 2020, the England and Wales High Court (“High Court”) rendered its judgment in Riverrock Securities Limited v International Bank of St Petersburg (Joint Stock Company) granting Riverrock Securities Limited (“RSL”) an interim anti-suit injunction in respect of bankruptcy proceedings in Russia brought against RSL by the receiver of the International Bank of…

Bankruptcy, Bankruptcy and arbitration, COVID-19, Insolvency, Latin America

(Herbert Smith Freehills LLP)/ /Leave a comment
Herbert Smith Freehills

One of the many consequences of the Covid-19 pandemic and the world-wide economic crisis has been the sharp increase of insolvency filings before national courts. Latin America is no stranger to this situation, having been part of the surge in business insolvencies. Brazil, in particular, has been a recent insolvency hotspot within Latin America. This…

Arbitration, Enforcement, Insolvency, Thailand

(Tilleke & Gibbins)/ /Leave a comment

The economic downturn in Thailand has resulted in increased pressure on Thai debtors. Several banks have forecasted Thailand’s gross domestic product (GDP) to contract 8.1 percent in 2020 due to a more severe than expected COVID-19 pandemic and the containment measures implemented by governments in many countries including Thailand. Creditors who are party to an…

Insolvency, International arbitration, Webinar

and (Jindal Global Law School)/ /1 Comment

The intersection of arbitration and insolvency, ever since the onset of the pandemic, is becoming a topical area of focus. The Centre for International Legal Studies (an Austria based non-profit society) and Arbinsol (a platform dedicated to the research on arbitration and insolvency) have responded by organizing an ongoing series of “post-pandemic” webinars. The most…

COVID-19, Force majeure, India, Insolvency, Public Policy, United States, United States Courts, USA

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The COVID-19 pandemic and the ensuing lockdowns have the legal community debating and exploring force majeure. That, however, does not rule out the imminent likelihood of international arbitration locking horns with domestic insolvency law. Arbitration agreements and subsequent awards may possibly be left redundant and award-holders remediless where insolvency proceedings are commenced in respect of…

Arbitration clause, Dispute Resolution, Insolvency, Stay of Proceedings, Winding Up Applications

(Advocate, Arbitrator and Mediator) and (Clyde & Co Clasis Singapore Pte Ltd)/ /2 Comments
Clyde & Co.

In the recent decision of AnAn Group (Singapore) Pte Ltd v VTB Bank (Public Joint Stock Company) [2020] SGCA 33 (“AnAn“), the Singapore Court of Appeal found that when a debtor challenges a winding-up application on the basis of a disputed debt or cross-claim that is subject to an arbitration agreement, the court should apply…