dc.contributor.author | Weideman, J | |
dc.contributor.author | Stander, A L | |
dc.date.accessioned | 2013-01-31T07:44:27Z | |
dc.date.available | 2013-01-31T07:44:27Z | |
dc.date.issued | 2012 | |
dc.identifier.citation | Weideman, J. & Stander, A.L. 2012. European and American perspectives on the choice of law regarding cross-border insolvencies of multinational corporations - suggestions for South Africa. Potchefstroom electronic law journal (PELJ) = Potchefstroomse elektroniese regsblad (PER), 15(5):133-227 [http://www.nwu.ac.za/p-per/index.html] | en_US |
dc.identifier.issn | 1727-3781 | |
dc.identifier.uri | http://hdl.handle.net/10394/8015 | |
dc.description.abstract | 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. | en_US |
dc.language.iso | en | en_US |
dc.subject | Cross-border insolvency | en_US |
dc.subject | CBI | en_US |
dc.subject | UNCITRAL Model Law on Cross-Border Insolvency | en_US |
dc.subject | European Council Regulation on Insolvency Proceedings | en_US |
dc.subject | Insolvency of integrated multinational enterprises | en_US |
dc.title | European and American perspectives on the choice of law regarding cross-border insolvencies of multinational corporations - suggestions for South Africa | en_US |
dc.type | Article | en_US |