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English Insolvency Courts open for international business
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The Court of Appeal has unanimously decided that it may appoint English administrators to a Jersey company, upon the request of the Jersey Court. This overturns a controversial decision from just last month, where a formal request from the Jersey Court for assistance was not considered sufficient for the English Courts to oblige. In that case, the English Court held that there had to be local insolvency proceedings afoot or at least in mind, before it could lend assistance. The Court of Appeal's decision reversed that approach and confirmed that no local insolvency proceedings were in fact necessary. Today's decision is significant in promoting cross border co-operation in insolvency cases. It reinforces the English Court's long held tradition to provide assistance and cooperation to insolvency courts beyond its own shores.
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