Since 2010, the Global Law Experts annual awards have been celebrating excellence, innovation and performance across the legal communities from around the world.
postedĀ 2 yearsĀ ago
Originally published in September 2019
Introduction
As a result of a consultation with industry bodies and professionals that has spanned several years, the States of Guernsey have drafted The Companies (Guernsey) Law, 2008 (Insolvency) Amendment Ordinance, 2019 (“the Ordinance”) which introduces a number of proposed additions to the Companies Law.
When these reforms were proposed in 2017, the Committee for Economic Development stated that ‘effective, equitable and clear insolvency laws are an essential ingredient of a modern economy. Exit strategies for business are an increasingly important factor when choosing where to establish a venture.… since they enable creditors to understand at the outset how a liquidation or administration will progress. In turn this can lead to willingness on the part of credit providers to lend in a jurisdiction; so allowing businesses improved access to finance to facilitate growth1.‘
The Ordinance aims to enhance and streamline the insolvency process for stakeholders in Guernsey. The Ordinance also introduces Company Insolvency Rules for matters of practice and procedure to be followed in, or in connection with, dissolution, winding up, liquidation or administration.
Various areas of the proposed changes are explored further below.
This will afford an additional layer of protection to creditors whereby an independent liquidator will be required to be appointed to provide objective oversight of the liquidation procedure, and review of the company’s affairs. This will bring Guernsey in line with a number of other offshore jurisdictions which have already implemented such legislation.
Administrators and liquidators will also be able to apply to the Court in respect of transactions at an undervalue (within 6 months of the relevant date, or 2 years if it involved a related party), and extortionate credit transactions (within 3 years of the relevant date). Such powers to apply to the Court on these grounds were not previously available. The Ordinance will enable consideration of further potential causes of action / recovery against office holders in relevant circumstances. It may also be viewed as a deterrent to company officeholders.
Conclusion
The changes being introduced by the Ordinance are aimed at improving and modernising the current insolvency law to afford additional protection to stakeholders. It is envisaged that the Ordinance will be passed and enacted by the end of 2019.
1 The States of Deliberation of the Island of Guernsey, Committee for Economic Development, Insolvency Review – Amendments to the Companies Law, 9 February 2019
Author
There are no results matching your search.
ResetpostedĀ 1 dayĀ ago
postedĀ 2 daysĀ ago
postedĀ 3 daysĀ ago
postedĀ 3 daysĀ ago
There are no results matching your search.
ResetSign up for the latest advisory briefings and news within Global Advisory Expertsā community, as well as a whole host of features, editorial and conference updates direct to your email inbox.
Naturally you can unsubscribe at any time.
Global Advisory Experts is dedicated to providing exceptional advisory services to clients around the world. With a vast network of highly skilled and experienced advisers, we are committed to delivering innovative and tailored solutions to meet the diverse needs of our clients in various jurisdictions.
{{trans('Drag and drop your video here')}}
{{trans('Or')}}
{{trans('Click here')}} {{trans('to select and upload the video')}}
{{trans('Please leave your feedback')}}
{{trans(`You can record up to`)}} {{trans(`%s min.`, time(preference.max_video_length, 'notice'))}} {{ trans(`You can review your video before submitting`)}}
{{trans('You will be able to check your review before sending')}}
{{trans('Not ready to record?')}}
{{trans(`You can record up to`)}} {{trans(`%s min.`, time(preference.max_video_length, 'notice'))}} {{ trans(`You can review your video before submitting`) }}
ā ļø {{ trans(`Camera and microphone access is blocked!`) }}
{{ trans(`Please give`) }} {{ trans(`microphone and camera access`) }} {{ trans(`to record video`) }}
{{ trans(`This site isnāt using https protocol.`) }} {{ trans(`Reviews cannot be recorded or uploaded`) }}
{{trans(`Not ready to record?`)}}{{trans(`Upload Video`)}}
{{trans(`Changed your mind?`)}}{{trans(`Upload Video Instead`)}}
{{trans(`Changed your mind?`)}}{{trans(`Record a Video Review`)}}
{{trans(`Changed your mind?`)}}{{trans(`Record a Video Instead`)}}
{{trans('Not ready to record?')}}{{trans(`Upload Video`)}}
{{trans('Changed mind?')}}{{trans(`Record Video Instead`)}}
{{trans('Uploading video...')}}
{{ trans('Your Review has been successfully') }}
{{ trans('submitted') }}