International Insolvency Institute: Cross-Border Practice Post-Brexit
Among the many issues that need to be negotiated between England and the EU for the Brexit to happen is the one dealing with restructuring and insolvency law. The U.K. has in recent years — due to its common membership in the European Insolvency Regulation regime — turned into a hotspot for foreign companies (and individuals) wanting to avail themselves of the English legal infrastructure for their recoveries. This scheme of arrangement — the companies’ voluntary arrangement in combination with the U.K.'s enormously efficient court system — has become highly attractive, since the decisions of English courts are generally recognized automatically throughout Europe. Brexit might change this and deprive other countries of what is currently a huge advantage (and source of income). It is also unclear what will happen with all those contracts under which non-U.K. parties have subjected themselves to English law; Brexit’s implications on them are likely to create enormous problems. This panel will discuss these complicated issues and more.