The Model Law on Cross-Border Insolvency (‘Model Law’) was promulgated by the United Nations Commission on International Trade Law (‘UNCITRAL’) in 1997. During its now more-than-a quarter century life, it has been adopted in more than 60 jurisdictions around the world and, in our view, has played a major role in the improvement and successful management of insolvency proceedings with a cross-border element.

The Model Law is built on the idea of ‘modified universalism’. Therefore, it envisions the commencement of a main proceeding in a single jurisdiction even if non-main proceedings can also be opened and the laws of other jurisdictions can still be relevant for certain aspects of the proceeding. Once main and non-main proceedings are opened, the Model Law establishes a set of rules to facilitate cooperation and assistance for the successful management of insolvency proceedings. 

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