Supreme Tycoon: common law power to recognise and assist foreign insolvency proceedings extends to voluntary liquidations.

Thank you colleagues at Hogan Lovells for flagging [2018] HKCFI 277 Supreme Tycoon in which the Hong Kong Court of First Instance ruled that the common law power to recognise and assist foreign insolvency proceedings extends to voluntary liquidations.

In so ruling, the court rejected the Privy Council obiter finding in Singularis. Shaun Langhorne, Chris Dobby & Mabel Koo (see the HL link above) highlight the Court’s rather convincing arguments in not following the Privy Council, including one I like a lot namely that the principle of modified universalism, the rationale underlying the common law power of assistance, and the purpose of cross-border insolvency assistance do not prima facie call for a distinction between compulsory and voluntary winding-up.

Geert.

(Handbook of) EU Private International Law, 2nd ed. 2016, Chapter 5, Heading 5.1.