Recent Decision Clarifies What Kind of Foreign Proceedings Can Access Chapter 15

Bankruptcy attorneys Arthur Rosenberg and Emily Rothkin authored an article in the American Bankruptcy Institute Journal about a decision passed down by the Hon. David S. Jones of the U.S. Bankruptcy Court for the Southern District of New York (SDNY) clarifying which types of foreign proceedings have the ability to access Chapter 15 of the U.S. Bankruptcy Code. The case, In re Global Cord Blood Corp., dealt with the issue of whether a Chapter 15 case filed by the liquidators of a judicial proceeding pending in the Cayman Islands was properly filed as a “foreign proceeding,” and therefore, whether recognition of the Cayman Islands proceeding was appropriate. The court denied recognition as a foreign proceeding. In this article, the authors outline the court's reasoning and explain the implications for foreign liquidators and similar parties. 

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