Response to Proposed Amendments to Chapter 15 of the U.S. Bankruptcy Code

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KRyS Global is pleased to join many of its colleagues onshore and offshore to raise its concerns with the National Bankruptcy Conference’s proposal to amend Chapter 15 to provide that a debtor’s center of main interests (“COMI”) should be determined as of the date of the commencement of the underlying foreign proceeding and not as of the date of the filing of the Chapter 15 petition, as the Second Circuit Court of Appeals in In re Fairfield Sentry Ltd. 714 F.3d 127 (2d Cir. 2013) and most other U.S. courts have held. This change would preclude many debtors, particularly debtors incorporated but not doing business in offshore jurisdictions, from obtaining recognition under Chapter 15. More information on the concerns raised can be found at: https://www.zoneofinsolvencyblog.com/2019/01/opposing-the-national-bankruptcy-conferences-proposal-to-legislatively-repeal-fairfield-sentry/#more-2108