Synopsis: The United States is a major market for the majority of the reinsurance companies registered in Bermuda and many will have assets and/or creditors in the US. Therefore, whenever any of them enter into liquidation proceedings, or reorganisation proceedings by way of schemes of arrangement, the insolvency officeholder or scheme administrators will probably as an early step, apply to the US Bankruptcy Court for recognition of the proceedings, pursuant to Chapter 15 of the US Bankruptcy Code and assistance such as the moratorium on proceedings against the company in the US.
Authors: Kehinde George and Larry Mussenden
Published: The Review, The Bermuda Legal Guide 2008
Article: Insolvency Recognition Woes