Education, Science, Technology, Innovation and Life
Open Access
Sign In

A Chaotic Clash: Legal Basis and Attitudes towards the Arbitration Used and Coordinated in Insolvency Proceedings

Download as PDF

DOI: 10.23977/law.2025.040212 | Downloads: 5 | Views: 261

Author(s)

Yuqiong Yang 1

Affiliation(s)

1 Xi'an Peihua University, Xi'an, Shaanxi, China

Corresponding Author

Yuqiong Yang

ABSTRACT

With the normalization of Covid-19 situation and geopolitical changes in the past years, transnational or national insolvency become more frequent. As a useful tool for international commercial disputes resolution, arbitration happens more often than ever, especially when a insolvency application has already been submitted. While there already exists a plenty of discussions on the clash and effects of arbitration and insolvency, how to coordinate the two important mechanisms in commercial legal practice is still a critical issue and changing in legislation and practice. Otherwise, as a part of mandatory regulation for public interests in a nation, insolvency seems to have more power and be more systematic than arbitration, which is of autonomy and more about international law that is fragmented in its instinct as any other international laws. This paper will start from the clash of arbitration and insolvency, but mainly focus on analyzing the legal basis and attitudes towards the use of arbitration in some different types of jurisdiction, such as common law, Chinese law and the EU law. After that, it will turn to discuss a potential way to harmonize the clash above and achieve balance.

KEYWORDS

Transnational Insolvency, Arbitration

CITE THIS PAPER

Yuqiong Yang. A Chaotic Clash: Legal Basis and Attitudes towards the Arbitration Used and Coordinated in Insolvency Proceedings. Science of Law Journal (2025) Vol. 4: 99-107. DOI: http://dx.doi.org/DOI: 10.23977/law.2025.040212.

REFERENCES

[1] Simon Vorburger (2014), International Arbitration and Cross-Border Insolvency: Comparative Perspectives, Kluwer Law International.
[2] Born GB (2020), International Commercial Arbitration: Three Volume Set Rubino-Sammartano M, International Arbitration Law and Practice, Third Edition (Juris Publishing, Inc 2014).
[3] Hristova V and Alvarado Garzón AE (2021), "International Arbitration and Cross-Border Insolvency—Friends or Foes? Revisiting the Role of Arbitration in Resolving Cross-Border Insolvency-Related Disputes", Journal of International Dispute Settlement.
[4] De Luis García E (2020), "Arbitraje Para Conflictos Ambientales: Una Aproximación Desde Los Derechos Humanos" THEMIS Revista de Derecho 505.
[5] Stephan Madaus (2020), 'The (Underdeveloped) Use of Arbitration in International Insolvency Proceedings', Journal of International Arbitration, Issue 4, pp. 449-478, https://kluwerlawonline. com/journalarticle/Journal+of+International+Arbitration/37. 4/JOIA2020021
[6] Alipak Banerjee and Payel Chatterjee (2021), 'Arbitration and Insolvency: Co-relation or Collision?', in Romesh Weeramantry and John choong(eds), Asian Dispute Review, pp.117-121. 
[7] Chan D and  Rajagopal S (2021), "To Stay or Not to Stay? A Clash of Arbitration and Insolvency Regimes"  Volume 38 Journal of International Arbitration.
[8] Edna Sussmann & Jennifer Gorski (2013), Capturing the Benefits of Arbitration for Cross Border Insolvency Disputes, in Contemporary Issues in International Arbitration and Mediation: the Fordham papers 167–168.
[9] Shumilina, Vera , and  S. Nikitin . Bankruptcy in Small Business in Connection with The Pandemic, Business security management in modern conditions (2021), at 148.
[10] Chuah, Jason (2011), Resolving Unresolved Relationship Problems – The Case of Cross Border Insolvency and Pending Arbitrations European Company and Financial Law Review, 2011, Available at SSRN: https://ssrn.com/abstract=2064968
[11] "National Report for Mexico," , Commencement of Insolvency Proceedings (Oxford University Press 2012) <http://dx.doi.org/10.1093/oso/9780199644223.003.0012> accessed September 26, 2021
[12] Velislava Hristova and Boris Praštalo (2020), 'Arbitrating Insolvency Disputes? The English High Court Showcases Its Pro-Arbitration Stance Once Again', http://arbitrationblog.kluwerarbitration.com/2020/11/19/arbitrating-insolvency-disputes-the-english-high-court-showcases-its-pro-arbitration-stance-once-again/ accessed 21 September 2021.
[13] Bresco Electrical Services Limited (in liquidation) v. Cannon Corporate Limited [2019] EWCA Civ 27.
[14] European Insolvency Regulation on Insolvency Proceedings (2015). 
[15] Elektrim (in bankruptcy) v Vivendi Universal SA [2008] EWHC 2155 (Comm).

All published work is licensed under a Creative Commons Attribution 4.0 International License.

Copyright © 2016 - 2031 Clausius Scientific Press Inc. All Rights Reserved.