Moving away from a territorial approach in cross-border insolvency? The adoption of the UNCITRAL model law in Great Britain and the Cambridge Gas case

In this article we look at two developments in cross-border insolvency in the United Kingdom – one legislative in the form of the introduction of the Model Law and the other judicial: the Cambridge Gas decision.

By Michael Quinlan, Partner, and Angela Martin, Overseas Practitioner, Allens Arthur Robinson

In May 1997, the United Nations Commission on International Trade Law (UNCITRAL) formally adopted a Model Law on cross-border insolvency. This model had been prepared by its Working Group in conjunction with other professional bodies since 1995 and it was recommended that Member States enact the model as part of their own domestic legislation. The aim of the Model Law is to coordinate a common approach in an increasing number of global insolvencies and to manage them in a manner that is efficient and cost effective.