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Summary:
Chapter 15 of the Bankruptcy Code was enacted in 2005 to protect US-based assets and preserve US-based claims for administration overseas whenever a foreign debtor finds itself in insolvency proceedings outside the US. Though many of Chapter 15’s ‘core’ concepts are the same as those that existed under prior US cross-border bankruptcy law, some differences exist. A 2009 decision by Nevada Bankruptcy Judge Bruce Markell highlights an important one of those differences: The test for Chapter 15 eligibility. This article reviews Judge Markell’s recent decision in In re Betcorp Limited (In Liquidation), compares its result to prior law, then draws some comparisons and contrasts between the two.
This 2009 article is accessible here. Republished by kind permission of Chase Cambria Company (Publishing) Ltd.