Pages from Bankruptcy History: Chapter 15's Origins
Bankruptcy attorney Arthur Rosenberg was quoted in a Law360 article taking a look back at the origins of Chapter 15 of the U.S. Bankruptcy Code as it turns 20. Mr. Rosenberg reflected on how U.S. cross-border insolvency practice evolved from the discretionary, case-by-case comity regime under former Section 304 to today's more predictable recognition framework aligned with the United Nations Commission on International Trade Law (UNCITRAL) Model Law. The piece traced the system's growing pains through high-profile 1990s cases involving multinational corporations as well as the eventual shift from fragmented, bespoke relief to standardized procedures that streamline coordination with foreign courts. Mr. Rosenberg commented on the practical burdens of the pre-Chapter 15 era and the benefits of clearer qualification standards in place now.
"Every time you needed something new, you had to go back to the court," he said. "...[Now], the real trick is just qualifying."