News
-
Court Recognizes US Trustee in Bankruptcy
In a judgment on March 7 2006 Deemster Doyle reviewed an application by a US trustee in bankruptcy, appointed in terms of Chapter 7 procedures under US bankruptcy law, to be recognized and have recognition enforced by way of a vesting order for funds held in the Isle of Man.
The court reviewed its own decision in Re: Impex Services Worldwide (2003-05 MLR 115) and reviewed local and English precedent in relation to the recognition of a foreign bankruptcy and the discretion to grant assistance or refuse assistance when such an application is made. In the circumstances of the case the court granted an order recognizing the appointment in Manx law of the US trustee in bankruptcy and providing assistance to the trustee by way of a declaration of the vesting title held in funds in the Isle of Man in the trustee.
