The "home country" of a multinational enterprise group facing insolvency

Identifying the ‘home country’ for the multinational enterprise group’s insolvency proceedings can be crucial for allowing an effective insolvency process for related entities. However, this is a challenging task given the diversity of group structures and insolvency scenarios. This article attempt...

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Main Author: Mevorach, Irit
Format: Article
Published: Cambridge University Press 2008
Online Access:https://eprints.nottingham.ac.uk/1730/
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author Mevorach, Irit
author_facet Mevorach, Irit
author_sort Mevorach, Irit
building Nottingham Research Data Repository
collection Online Access
description Identifying the ‘home country’ for the multinational enterprise group’s insolvency proceedings can be crucial for allowing an effective insolvency process for related entities. However, this is a challenging task given the diversity of group structures and insolvency scenarios. This article attempts to deal with this issue by applying alternatives of ‘insolvency venues’ to the group case and confronting them with key insolvency goals, to assess which standard venue could most effectively enhance cost efficiency, predictability and transparency of the rules (regarding jurisdiction), control forum shopping and accord with creditors’ legitimate expectations. The paper suggests that operational headquarters is in principle the most efficacious test for multinational groups, yet it also points out its limitations.
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spelling nottingham-17302020-05-04T20:27:21Z https://eprints.nottingham.ac.uk/1730/ The "home country" of a multinational enterprise group facing insolvency Mevorach, Irit Identifying the ‘home country’ for the multinational enterprise group’s insolvency proceedings can be crucial for allowing an effective insolvency process for related entities. However, this is a challenging task given the diversity of group structures and insolvency scenarios. This article attempts to deal with this issue by applying alternatives of ‘insolvency venues’ to the group case and confronting them with key insolvency goals, to assess which standard venue could most effectively enhance cost efficiency, predictability and transparency of the rules (regarding jurisdiction), control forum shopping and accord with creditors’ legitimate expectations. The paper suggests that operational headquarters is in principle the most efficacious test for multinational groups, yet it also points out its limitations. Cambridge University Press 2008-04 Article PeerReviewed Mevorach, Irit (2008) The "home country" of a multinational enterprise group facing insolvency. International and Comparative Law Quarterly, 57 (2). pp. 427-448. ISSN 0020-5893 http://journals.cambridge.org/action/displayAbstract?fromPage=online&aid=1862912 doi:10.1017/S0020589308000250 doi:10.1017/S0020589308000250
spellingShingle Mevorach, Irit
The "home country" of a multinational enterprise group facing insolvency
title The "home country" of a multinational enterprise group facing insolvency
title_full The "home country" of a multinational enterprise group facing insolvency
title_fullStr The "home country" of a multinational enterprise group facing insolvency
title_full_unstemmed The "home country" of a multinational enterprise group facing insolvency
title_short The "home country" of a multinational enterprise group facing insolvency
title_sort "home country" of a multinational enterprise group facing insolvency
url https://eprints.nottingham.ac.uk/1730/
https://eprints.nottingham.ac.uk/1730/
https://eprints.nottingham.ac.uk/1730/