Cross-border insolvency in Hong Kong: Developments and updates

In recent years, particularly in 2020 and 2021, the Hong Kong High Court has been actively developing its common law framework in relation to the recognition of and assistance to foreign insolvency representatives. This article aims to provide an update to the common law recognition framework in Hong Kong and argues that the recent developments are intended to achieve two objectives, namely harmonizing the Hong Kong common law position with the relevant principles under the UNCITRAL Model Law on Cross-border Insolvency; and strengthening the implementation of the mutual recognition framework on corporate insolvency proceedings between Mainland China and Hong Kong. This article also discusses how some of the unresolved issues in the Hong Kong common law recognition framework may be approached in light of these two objectives.