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7 - Cross-Border Corporate Reorganisations in China

Published online by Cambridge University Press:  21 September 2018

Zinian Zhang
Affiliation:
University of Leeds
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Summary

Chapter 7 is examining cross-border reorganizations in China on three aspects. First, it considers whether foreign creditors are treated in the same way domestic creditors are treated in corporate reorganizations in China. Second, attention is paid on how a foreign corporate reorganization order can be recognized in China, and especially on whether a foreign corporate reorganization order can stay individual actions against the company's assets located in China. Third, it investigates how a corporate reorganization order issued by a Chinese court can be recognized abroad. According to the findings, this chapter puts an end to the doubt that foreign creditors might be disadvantaged in China's corporate reorganizations. Meanwhile, although China embraces universalism in the bankruptcy statutes, in reality, seeking the recognition of a foreign insolvency order in China is still a remote possibility. By contrast, it may be far easier for a Chinese insolvency order to be recognized abroad, especially in jurisdictions where the UNCITRAL Model Law on Cross-Border Insolvency has been adopted.
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Chapter
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Corporate Reorganisations in China
An Empirical Analysis
, pp. 221 - 245
Publisher: Cambridge University Press
Print publication year: 2018

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