Conflict Regulation of Cross-Border Insolvency

The research focuses on examining and analyzing the ways of resolving conflict of laws issues arising in the framework of cross-border insolvency. The development of cross-border insolvency norms began in the second half of the XX century, which indicates the attempt of states to unify the institution and the desire to provide mutual support in the consideration of cases of this category. However, to date, cross-border insolvency issues have been excluded by a number of international instruments, which leads to the conclusion that there is a lack of proper regulation at the international level. The benchmark of cross-border insolvency regulation at the integration level is the Regulation of the European Union No. 2015/848 of 20.05.2015, which generally outlined the solution of many issues raised by cross-border bankruptcy proceedings. Thus, cross-border insolvency law is developing as a sui generis system of private international law aimed at regulating complex legal relations of cross-border insolvency. National bankruptcy laws are shaped by economics, culture and tradition. Due to the diversity of national laws governing cross-border insolvency, conflicts and clashes in choice of law obviously arise. Lex fori concursus is the law of the state of the place of commencement of the proceedings. The application of this conflict of laws rule results in certainty as to the effect of insolvency proceedings on the rights and claims of the parties affected by those proceedings, provided that the place of commencement is the debtor's "center of main interests". The lex fori concursus rule is the principle governing the universality and unity of bankruptcy proceedings. Due to the existence of material issues in bankruptcy cases that require resolution, exceptions to the lex fori concursus apply. Chapter III of the work considers the peculiarities of conflict of laws regulation of separate disputes in cross-border insolvency. The present research concludes with a paragraph on the conflict of laws regulation of insolvency of cross-border groups of companies.