Global Restructuring Review’s Post

In DGJ v Ocean Tankers (Pte) Ltd (in liquidation) and another appeal [2024] SGCA 57, The Court of Appeal held that the assignment of claims against a company while that company was in judicial management, made with the purpose of asserting insolvency set-off when that company went into liquidation, was liable to be struck down on public policy grounds for subverting the regime of pari passu distribution among unsecured creditors in liquidation. The court also commented on the interpretative approach to non-assignment clauses and on whether a statutory trust arises in the judicial management of a company. Read more: go.gov.sg/2024sgca57

Case Update: Forgiveness of debt under deed held to be void as an uncommercial transaction Contributor Jacqueline Ogden Senior Lawyer Writer, Dispute Resolution, Insolvency and Restructuring, Practical Law Australia Laura Hawes, Head of Dispute Resolution, Insolvency and Restructuring, Practical Law Australia In a recent decision, the Federal Court of Australia found that provisions of a deed entered into by a company in liquidation, pursuant to which it purported to forgive and release a debt owed to it by certain (related) counterparties, were voidable uncommercial transactions and that payments made to those counterparties were unreasonable director-related transactions: Sprowles, in the matter of ACN 619 665 628 Pty Ltd (in liquidation) v Rouse [2024] FCA 988.. Read the takeaways, background and decision (members only) at arita.com.au https://lnkd.in/gPdMqtQ6 #ARITA #Liquidation #Debts #VoidableTransactions #deeds

“Businesses operating in the movement of goods and people are party to some of the most complex contracts and transactions—which can result in expensive and risky international disputes.” Read the full research below. https://lnkd.in/e4NdM2jJ #legalfinance #litigationfunding #BurfordCapital

DON'T MISS TODAYS HYBRID EVENT RTI v Mur and Force Majeure clauses The Supreme Court has held in RTI v MUR that where force majeure is defined as an event or state of affairs which cannot not be overcome by “reasonable endeavours” from the party affected, the party seeking to invoke force majeure is not required to accept an offer of non-contractual performance from the other party in order to overcome the effects of that force majeure event. That is so even where the non-contractual performance is only trivially different from contractual performance, and its acceptance would entail no or minimal cost, risk or inconvenience on the part of the party seeking to rely on force majeure. Is the result principled, uncommercial, both, or neither? Should lawyers be advising their clients to rewrite their force majeure clauses, and if so how? What impact is the decision likely to have in shipping, commodities and finance contexts, particularly in an era of sanctions? Specific issues for discussion will include: the impact of the decision on ISDA (International Swaps and Derivatives Association) trades; the implications of the decision from a shipping / chartering perspective; what (if anything) the decision tells us about the Supreme Court’s thinking more generally on contract law and contractual interpretation; and whether the Supreme Court got it right. Chairman: The Right Hon. Lord Justice Males Speakers Simon Firth Linklaters LLP Paul Davies – Barrister, Essex Court Chambers Alex McIntosh – Partner, Penningtons Manches Cooper LLP William Day – Barrister, 3 Verulam Buildings Date: Tuesday 1st October 2024 Time: 6.00pm – 7.30pm Host/Venue: Linklaters LLP, One Silk Street, London, EC2Y 8HQ REGISTER NOW: https://bit.ly/3N4bnos #shipping #linklaters #Legal #Law #event

In case you have missed it during the week, the BVI has expanded its statutory assistance regime, under Part XIX of the BVI Insolvency Act, to 24 additional jurisdictions (Bahamas, Belize, Bermuda, Cayman Islands, Guernsey, Isle of Man, Singapore, and Turks and Caicos Islands, amongst others). This new amendment enables foreign insolvency representatives from these newly added jurisdictions to apply to the BVI Courts for assistance in foreign insolvency proceedings. Feel free to reach out in case you have any BVI matters to discuss. #BVI #InsolvencyAct #Insolvency #Restructuring #ForeignInsolvencyProceeding #ForeignRepresentative #Caribbean

Rajah & Tann Singapore has successfully achieved a full dismissal of undervalue transaction claims and conspiracy claims made against our client, a purchaser of assets, in the case of SW Trustees Pte Ltd (in compulsory liquidation) and another v Teodros Ashenafi Tesemma [2024] SGHC 322. The case was led by Wilson Zhu, Restructuring & Insolvency Partner, and Naomi Lim Bao Bao, China Related Investment Disputes Associate from Rajah & Tann Singapore. The decision provides guidance on how the Court will assess the total value received and provided by an insolvent seller, in the context of undervalue transactions under section 224 of the Insolvency, Restructuring and Dissolution Act. Read more about the case here: https://bit.ly/4h0tUip Learn more about our Restructuring & Insolvency practice: https://lnkd.in/gu-yBr6Y Wilson Zhu: https://lnkd.in/gfdDNmxk #casehighlight #landmark #valuingassets #undervalue #transactions #fulldismissal #restructuring #insolvency #insolvent #IRDA #dispute #judgement #disputeresolution #Singapore #Asia #legal #law #lawyer #lawfirm #LawyersWhoKnowAsia #RajahTannAsia #RTA

[#restructuring] On September 18, 2024, the Financial Services Commission of the British Virgin Islands (#BVI) announced an expansion of the list of “relevant foreign country” under Part XIX of its Insolvency Act 2003. #Singapore is one of the new jurisdictions included. Part XIX of the Act allows the BVI courts to provide assistance in relation to foreign insolvency proceedings from designated jurisdictions (i.e., the relevant foreign countries). The relief available to foreign representatives from those jurisdictions is very broad. Until the September announcement, only nine jurisdictions (including #HKSAR and #Japan for Asia) were so designated and BVI case law has found that the BVI courts have no common law jurisdiction to assist foreign representatives from jurisdictions that are not on the list. Read the announcement for more details. #restructuring #insolvency

The Insolvency (Fees) Regulations, No. 44 of 2024 revoked the Insolvency (Fees) Regulations, No. 77 of 2023. #LawsofUganda #LegalUpdates