Ch. 15 Decision Shows Low Bar for U.S. Recognition

Bankruptcy attorney Arthur Rosenberg was mentioned in a Law360 article about a recent New York bankruptcy court decision confirming that foreign debtors need only minimal assets in the U.S. to obtain Chapter 15 recognition. The article highlighted how this lowered threshold facilitates cross-border insolvency proceedings and grants foreign liquidators valuable tools, such as broad discovery powers, under U.S. law. In response to concerns about debtors exploiting the system, Mr. Rosenberg pointed out that judicial oversight still applies, as judges retain the authority to reject filings.

"If a judge sees the process being abused, the judge's job is to keep that from occurring," he said.

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