Introduction

Bankruptcy and insolvency laws are critical for both businesses and individuals dealing with financial distress. This 5-day training course offers an in-depth understanding of bankruptcy proceedings, restructuring options, creditor protections, and legal strategies in insolvency cases. Participants will gain the skills to navigate the complexities of financial distress, evaluate the options available, and apply relevant laws effectively in real-world scenarios.

Course Objectives

By the end of this course, participants will:
✔ Understand the key legal concepts in bankruptcy and insolvency, including liquidation and reorganization.
✔ Learn about the different types of insolvency procedures and their applications.
✔ Gain insights into creditors’ rights, priorities, and strategies in insolvency cases.
✔ Explore the role of bankruptcy courts and legal professionals in insolvency proceedings.
✔ Understand the emerging trends and reforms in bankruptcy and insolvency law.

Who Should Attend?

• Legal professionals (bankruptcy lawyers, corporate counsel, financial advisors)
• Insolvency practitioners and restructuring specialists
• Bankers and financial professionals involved in distressed debt management
• Business executives and managers overseeing financial restructuring or liquidation
• Government officials and regulators involved in bankruptcy policy and enforcement
• Academics and students specializing in corporate finance or bankruptcy law

Day 1: Introduction to Bankruptcy and Insolvency Law

Session 1: Overview of Bankruptcy and Insolvency Law

• Definitions and key concepts: Bankruptcy vs. Insolvency
• The role of insolvency law in economic systems
• International frameworks and cross-border insolvency (UNCITRAL, Chapter 15 of the US Bankruptcy Code)
• The bankruptcy process: Legal and procedural steps

Session 2: Types of Insolvency Procedures

• Voluntary vs. Involuntary Bankruptcy: When and how each type applies
• Liquidation (Chapter 7, compulsory liquidation, administration)
• Reorganization (Chapter 11, Company Voluntary Arrangements, Schemes of Arrangement)
• Case study: When liquidation is preferable to reorganization

Session 3: The Role of the Bankruptcy Court

• Functions and powers of the bankruptcy court
• The judge’s role in bankruptcy proceedings
• Key parties in bankruptcy cases: Debtors, creditors, trustees, and lawyers
• Overview of bankruptcy hearings and motions

Day 2: Creditor’s Rights and Priorities in Insolvency

Session 4: Creditors’ Rights in Insolvency

• Categories of creditors: Secured vs. unsecured creditors
• The role of creditors in the bankruptcy process
• How creditors can protect their interests during insolvency
• Voting and decision-making rights of creditors in bankruptcy proceedings

Session 5: Priority of Claims and the Distribution of Assets

• Understanding the priority of claims: Secured vs. unsecured creditors
• The treatment of employee claims, tax liabilities, and other special claims
• The waterfall structure: How assets are distributed during liquidation
• Case study: Distribution of assets in a complex bankruptcy

Session 6: Secured Transactions and Collateral

• The concept of security interests and collateral in bankruptcy
• The process of enforcing security interests during insolvency
• UCC Article 9 and its implications in bankruptcy proceedings (for US-based training)
• International perspectives on secured transactions in insolvency

Day 3: Bankruptcy Reorganization and Restructuring

Session 7: Reorganization in Bankruptcy

• Chapter 11 Bankruptcy (U.S.) and Corporate Restructuring
• Restructuring options: Debt-to-equity swaps, cramdowns, and negotiated agreements
• The role of the debtor-in-possession (DIP) in Chapter 11 cases
• Reorganization plans and confirmation procedures
• Case study: Successful corporate reorganization in Chapter 11

Session 8: The Role of Insolvency Practitioners and Trustees

• Duties and responsibilities of insolvency practitioners and trustees
• The appointment of trustees in various types of bankruptcy proceedings
• Trustees’ powers to investigate and pursue fraudulent transfers
• Conflicts of interest and ethical considerations for insolvency professionals

Session 9: Cross-Border Insolvency and International Frameworks

• The challenges of international insolvency cases
• The role of UNCITRAL Model Law and cross-border insolvency regulations
• Forum shopping and jurisdictional issues in multinational bankruptcy cases
• Case study: Cross-border insolvency proceedings involving multiple jurisdictions

Day 4: Bankruptcy Fraud, Bankruptcy Litigation, and Alternative Dispute Resolution

Session 10: Bankruptcy Fraud and Fraudulent Transfers

• Types of bankruptcy fraud: False statements, concealment of assets, preference payments
• Investigating fraudulent conveyances and voidable transfers
• Defenses against allegations of fraudulent transfers
• Case study: Detecting and challenging fraudulent transfers

Session 11: Bankruptcy Litigation

• Common litigation issues in bankruptcy: Dischargeability of debts, objections to claims
• The role of adversary proceedings in bankruptcy litigation
• Judicial decisions on bankruptcy discharge and exceptions to discharge
• Case study: A bankruptcy litigation case involving disputes over debt discharge

Session 12: Alternative Dispute Resolution (ADR) in Bankruptcy

• Mediation and arbitration in bankruptcy disputes
• The advantages and challenges of ADR in bankruptcy and insolvency cases
• The role of bankruptcy courts in encouraging ADR
• Case study: Successful ADR in resolving bankruptcy disputes

Day 5: Emerging Trends, Reform and Ethical Considerations in Bankruptcy

Session 13: Emerging Trends in Bankruptcy and Insolvency Law

• New developments in bankruptcy law: Digital assets and cryptocurrency in insolvency
• The rise of distressed investing and private equity in restructuring
• Bankruptcy and environmental concerns: Dealing with environmental liabilities
• Case study: Bankruptcy proceedings in the digital asset or cryptocurrency sector

Session 14: Ethical Considerations and Challenges in Bankruptcy Practice

• Professional ethics for bankruptcy practitioners: Conflicts of interest, disclosure obligations
• Maintaining fairness in the bankruptcy process
• Ethical issues with creditor committees, trustees, and debtors-in-possession
• Case study: Ethical dilemmas in complex bankruptcy cases

Session 15: Future of Bankruptcy Law and Key Takeaways

• The future of insolvency law: Potential reforms and challenges
• Impact of the COVID-19 pandemic on insolvency proceedings and business recovery
• Preparing for the evolving landscape of bankruptcy law
• Panel discussion: Reflections and insights from experts in the field

Final Wrap-Up & Certification

• Recap of key topics covered in the course
• Awarding of completion certificates
• Networking and closing remarks