European and American perspectives on the choice of law regarding cross-border insolvencies of multinational corporations - suggestions for South Africa
Stander, A L
MetadataShow full item record
An increase in economic globalisation and international trade has amounted to an increase in the number of multinational enterprises that have debt, own assets and conduct business in various jurisdictions around the world. This, coupled with the recent worldwide economic recession, has inevitably caused the increased occurrence of multinational financial default, also known as cross-border insolvency (CBI). The legal response to this trend has, inter alia, produced two important international instruments that were designed to address key issues associated with CBI. Firstly, the United Nations Commission on International Trade Law (UNCITRAL) adopted the UNCITRAL Model Law on Cross-Border Insolvency (the Model Law) in 1997, which has been adopted by nineteen countries including the United States of America and South Africa. Secondly, the European Union (EU) adopted the European Council Regulation on Insolvency Proceedings (EC Regulation) in 2000. Both the EC Regulation and Chapter 15 adopt a “modified universalist” approach towards CBI matters. Europe and the United States of America are currently the world leaders in the area of CBI and the CBI legislation adopted and applied in these jurisdictions seems to be effective. As South Africa’s Cross-Border Insolvency Act is not yet effective, there is no local policy guidance available to insolvency practitioners with regard to the application of the Model Law. At the basis of this article is the view that an analysis of the European and American approaches to CBI matters will provide South African practitioners with valuable insight, knowledge and lessons that could be used to understand and apply the principles adopted and applied in terms of the EC Regulation and Chapter 15, specifically the COMI concept, the “establishment” concept in the case of integrated multinational enterprises and related aspects.
Showing items related by title, author, creator and subject.
Insolvency interrogations : an investigation into sections 64, 65, 66 and 152 of the Insolvency Act 24 of 1936 Mwelase, Musamuni Barbara (North-West University, 2005)This dissertation is the analysis of sections 64, 65, 66 and 152 of the Insolvency Act 24 of 1936. Sections 414 to 418 of the Companies Act 61 of 1973 are also touched upon in so far as they relate to these sections of ...
European and American perspectives on the choice of law regarding cross-border insolvencies of multinational corporations: suggestions for South Africa Weideman, J.; Stander, A.L. (NWU, 2012)An increase in economic globalisation and international trade has amounted to an increase in the number of multinational enterprises that have debt, own assets and conduct business in various jurisdictions around the ...
The competence of the foreign representative in cross-border insolvency matters : a comparison between South Africa and Australia Mouton, Ella (2014)The world is continuously becoming a smaller and smaller place. It has become a global community of sorts merely divided by imperceptible borders that are easily transversed by ever-evolving technological advances in the ...