Beruflich Dokumente
Kultur Dokumente
Zokirjon Abdusattarov
Zhaoji Wu
• One of the most noteworthy features of international bankruptcy law is the lack of legal structures,
either formal or informal, to deal with an insolvency that crosses national borders. In addition,
problems unique to transnational insolvency cases require special consideration.
• Under the universality approach, toward which U.S. courts are moving, an
international insolvency case is treated, insofar as possible, as a single case
and the creditors treated equally wherever they might be located.
• Under the territoriality approach, each country looks out for its own
creditors before contributing assets to pay creditors in other countries.
Territoriality approach
• Each nation conducts its own insolvency proceeding with respect to the assets
located within its jurisdiction and disregards any parallel proceedings in a
foreign nation.
• The court uses "local assets to satisfy local claimants in local proceedings with
little regard for proceedings or parties elsewhere.... “
• Territoriality takes the pessimistic view that local claimants ultimately will not
receive their fair share of the assets in a foreign insolvency. Consequently,
under this approach a local court must provide for these creditors as well as
possible, given the assets within the court's jurisdiction.
Universality approach
• Under the universality approach, a single forum should apply "a single legal
regime to all aspects of a debtor's affairs on a worldwide basis."
3. Financial collateral arrangements. An EU Directive on Financial Collateral Arrangements has been issued (Official Journal C 180 of 26 June 2001). It will apply to collateral arrangements between parties, providing a uniform conflict-of-laws treatment of book entry securities used as collateral in a cross-border context and protects these arrangements from the effects
of bankruptcy. The implementation date was 27 December 2003, and most EU Member States have enacted legislation on the topic.
Thank You!