Legal 500 has published its Asia Pacific 2023 guide and Gall is ranked as a Leading Firm for Litigation (Band 4), Labour & Employment (Band 4), Restructuring & Insolvency (Band 5) and Private Client & Family (Band 3). Litigation Summary and Testimonials ‘Small but very strong’ conflict-free specialist litigation boutique Gall‘s ‘well organised and effective team of
Winding-up a Foreign Incorporated Company in Hong Kong – Nature of Benefits Conferred by a Winding Up Order
Case Background 14th June, 2022 -The Court of Final Appeal (“CFA”) handed down a judgment in Shandong Chenming Paper Holdings Limited v Arjowiggins HKK 2 Limited [2022] HKCFA 11 (“CFA Decision”) yesterday, ruling on the nature of benefits conferred by a winding up order required to wind up a foreign incorporated company. The jurisdiction of
Nick Gall and Ashima Sood Contribute Updated Chapter on Insolvency for ICLG
Nick Gall and Ashima Sood have contributed the Hong Kong chapter for the 2022 International Comparative Legal Guide (ICLG) to Restructuring & Insolvency. The chapter covers common issues in restructuring and insolvency, including issues that arise when a company is in financial difficulties, restructuring options, insolvency procedures, tax, employees and cross-border issues in 25 jurisdictions. Click here to read
Hong Kong Court Recognises Mainland Chinese Reorganisation Proceedings for the First Time
The very first case that the Hong Kong Court recognised and granted assistance to bankruptcy administrators appointed by the Mainland Chinese courts in insolvency proceedings commenced in Mainland China in Re CEFC Shanghai International Group Limited [2020] HKCFI 167. Following the latest developments in the insolvency and restructuring regime, the Hong Kong Court has made further strides towards the enhanced cross-border restructuring cooperation in Re HNA Group Co Limited [2021] HKCFI 2897, in which the Honourable Mr. Justice Harris recognised Mainland Chinese reorganisation proceedings for the very first time (the “Decision”).
Gall Advises on Ongoing Restructuring of Luckin Coffee Inc
Gall is working together with Carey Olsen and Quinn Emanuel Urquhart & Sullivan to advise an Ad Hoc Group of bondholders (“AHG”) in relation to an offshore scheme of arrangement in the ongoing restructuring of Luckin Coffee Inc (“Luckin Coffee”) in Cayman.
A new chapter in cross-border insolvency: the first application by Hong Kong liquidators for recognition and assistance in Mainland China
On 14 May 2021, a cooperation mechanism was established between the Mainland and Hong Kong in the form of the Record of Meeting of the Supreme People's Court and the Government of the Hong Kong Special Administrative Region and Mutual Recognition of and Assistance to Bankruptcy (Insolvency) Proceedings between the Court of the Mainland and the Hong Kong Special Administrative Region and the Supreme People’s Court’s Opinion on taking forward a pilot measure in relation to Recognition and Assistance to Bankruptcy (Insolvency) Proceedings in the Hong Kong Special Administrative Region (the “SPC Opinion”).
Reconsidering the Need for Parallel Schemes of Arrangement
The cautious and prudent approach for distressed companies pursuing a Hong Kong scheme of arrangement is to simultaneously pursue a parallel scheme in their home jurisdiction, even if most if not all of its debts are governed by Hong Kong laws. The rationale is to prevent hostile creditors from disrupting the implementation of the scheme in another jurisdiction, thereby better insulating the distressed company.
Nick Gall, Ashima Sood and Kritika Sethia Contribute Chapter on Insolvency for ICLG
Nick Gall, Ashima Sood and Kritika Sethia have contributed the Hong Kong chapter for the 2021 International Comparative Legal Guide (ICLG) to Restructuring & Insolvency. The chapter covers common issues in restructuring and insolvency, including issues that arise when a company is in financial difficulties, restructuring options, insolvency procedures, tax, employees and cross-border issues in 25 jurisdictions.
Evelyn Chan Quoted in The Standard Article on Insolvencies in Hong Kong
Partner Evelyn Chan has been quoted extensively in a The Standard article on insolvencies in Hong Kong. In the first 11 months last year, bankruptcy filings increased by 7.29 percent to 7,980 from a year ago, data from Official Receiver's Office showed. A total of 409 compulsory winding-up petitions were presented, rising by 7.63 percent year-on-year.Evelyn believes the effects of the pandemic have not yet been fully reflected in the figures, as Hong Kong Court hearings have been disrupted amid the pandemic, resulting in more delays.In the article, Evelyn also explains the process of provisional liquidation and explores soft-touch provisional liquidation – where the company's directors will remain in the management while the provisional liquidator is appointed for restructuring purposes only, and they work together on a restructuring plan.
At Long Last: Hong Kong’s Very Own Corporate Rescue Procedure
The idea of reforming Hong Kong’s corporate rescue regime was first floated back in 1996. It was introduced in the form of the Companies (Corporate Rescue) Bill 2001 but got nowhere due to differences of opinion. This was returned to the table subsequently in 2003, 2009 and 2014, but nothing ever came to fruition.
