Gibbs rule tested: implications for creditors

Author: IFLR Correspondent | Published: 26 Feb 2019

Recent cases in the UK and US have tested the 128-year-old rule. Cleary Gottlieb lawyers explain what this means for future restructurings

English law analyses creditors’ rights in a foreign restructuring as a matter, fundamentally, of contract. One consequence of this is the longstanding principle of English law that an English law-governed debt cannot be discharged by a foreign insolvency proceeding....