Foreign non-main proceedings definition

View the related practice notes about Foreign non-main proceedings

US Chapter 15 overview

This Practice Note does not purport to address the complete breadth of relief that may be obtained by a foreign representative or all of the intricacies encountered in multi-jurisdictional insolvency cases. Because Chapter 15 cases are intensely fact-driven and depend in large part upon the insolvency regime of the foreign jurisdiction, as well as its relative similarity to the Bankruptcy Code, Chapter 15 jurisprudence, and the forms of relief available to a foreign representative, will continue to evolve.This Practice Note addresses Chapter 15 as follows:•Chapter 15 Background•Chapter 15 Key Terms and Concepts•Chapter 15 SynopsisChapter 15 backgroundComityComity is the underlying legal doctrine animating Chapter 15. Comity is not a static doctrine—its reciprocal nature and political underpinnings make its contours both flexible and somewhat unpredictable. Nonetheless, it is a doctrine that must be understood by the studious Chapter 15 lawyer. The Supreme Court defined comity as ‘the recognition which one nation allows within its territory to the legislative, executive or judicial acts of another nation, having due regard both to international duty...

Table of differences between main and non-main proceedings under the Cross-Border Insolvency Regulations 2006

IntroductionThe Cross-Border Insolvency Regulations 2006 (CBIR 2006), SI 2006/1030 which implement the UNCITRAL Model Law on Cross Border Insolvency (the UNCITRAL Model law) in England specify that foreign main or foreign non-main proceedings may be opened (see Practice Note: When does UNCITRAL (implemented by the Cross-Border Insolvency Regulations) apply and what are the effects?). The table below compares the differences between foreign main proceedings (similar to 'main proceedings' under the EU Recast Regulation on Insolvency, which continues to apply between Member States) and foreign non-main proceedings (similar to 'secondary proceedings' under the EU Recast Regulation on Insolvency):Foreign main proceedingsForeign non-main proceedingsThis means a foreign proceeding taking place in the state where the debtor has the centre of its main interests (COMI): COMI is deliberately not defined, though the Court of Appeal in Re Stanford confirms that cases relating to the EC Regulation on Insolvency, 1346/2000 (the predecessor to the EU Recast Regulation on Insolvency) can be used to interpret the UNCITRAL Model Law and CBIR 2006, SI 2006/1030, Sch 1,...