{"id":143906,"date":"2026-07-08T11:19:09","date_gmt":"2026-07-08T11:19:09","guid":{"rendered":"https:\/\/my.legal500.com\/guides\/?post_type=comparative_guide&#038;p=143906"},"modified":"2026-07-10T07:58:07","modified_gmt":"2026-07-10T07:58:07","slug":"uae-restructuring-insolvency","status":"publish","type":"comparative_guide","link":"https:\/\/my.legal500.com\/guides\/chapter\/uae-restructuring-insolvency\/","title":{"rendered":"United Arab Emirates: Restructuring &amp; Insolvency"},"content":{"rendered":"","protected":false},"template":"","class_list":["post-143906","comparative_guide","type-comparative_guide","status-publish","hentry","guides-restructuring-insolvency","jurisdictions-uae"],"acf":[],"appp":{"post_list":{"below_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">White Square<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2026\/06\/White-Square-logo.jpg\"\/><\/span><\/div>"},"post_detail":{"above_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">White Square<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2026\/06\/White-Square-logo.jpg\"\/><\/span><\/div>","below_title":"<span class=\"guide-intro\">This country specific Q&amp;A provides an overview of Restructuring &amp; Insolvency laws and regulations applicable in United Arab Emirates<\/span><div class=\"guide-content\"><div class=\"filter\">\r\n\r\n\t\t\t\t<input type=\"text\" placeholder=\"Search questions and answers...\" class=\"filter-container__search-field\">\r\n\t\t\t<\/div>\r\n\r\n\t\t\t\r\n\r\n\r\n\t\t\t<ol class=\"custom-counter\">\r\n\r\n\t\t\t\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What forms of security can be granted over immovable and movable property? What formalities are required and what is the impact if such formalities are not complied with?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The legal treatment of security in the onshore UAE depends primarily on the nature of the asset and on whether a special registry exists for that asset. As a general rule, security over immovable property is created and perfected through the relevant emirate land registry. In Dubai, for example, mortgages over immovable property are governed by Law No. 14 of 2008 Concerning Mortgages in the Emirate of Dubai and are perfected through registration with the Dubai Land Department.<\/p>\n<p>Security over movables is governed by Federal Law No. 4 of 2020 on Securing Rights in Movables (\u201cMovables Security Law\u201d) and its Executive Regulations issued by Cabinet Resolution No. 29 of 2021 , unless another law requires registration in a special registry, in which case that special regime prevails.<\/p>\n<p>The principal forms of security available under onshore UAE law are:<\/p>\n<ul>\n<li>real estate mortgages over immovable property ;<\/li>\n<li>mortgages over off-plan units and contractual real estate rights, where the local emirate regime permits ;<\/li>\n<li>non-possessory security rights over movables (including inventory, equipment, receivables, bank accounts, future assets) under the Movables Security Law ;<\/li>\n<li>business-asset mortgages ;<\/li>\n<li>share pledges over LLC and joint stock company shares ;<\/li>\n<li>maritime mortgages over vessels, governed by Federal Law No. 26 of 1981 on Commercial Maritime Law as substantially amended by Federal Decree-Law No. 43 of 2023, and perfected through registration in the relevant emirate maritime registry;<\/li>\n<li>aircraft mortgages and international interests over aircraft objects, governed by the General Civil Aviation Authority&#8217;s aircraft register and by the Cape Town Convention as implemented in the UAE; and<\/li>\n<li>trademark and other recordable IP security .<\/li>\n<\/ul>\n<p>The required formalities differ by asset class. For real estate mortgages, the instrument must be registered with the relevant authority . For security over movables, perfection is achieved by registration or alternatively by possession or control of the asset . For share pledges over shares in limited liability companies, the pledge instrument must be made in accordance with the terms of the Memorandum of Association of the company under an official authenticated document and recorded in the commercial register with the competent authority . For pledges over shares in listed public joint stock companies, the pledge is registered with the relevant securities depository (Dubai CSD for DFM-listed shares; ADX CSD for ADX-listed shares) through an electronic registration process. Trademark security interests must be recorded with the UAE Ministry of Economy&#8217;s trademarks register .<\/p>\n<p>The central practical rule is that failure to comply with the applicable formality usually changes the legal status of the security. Depending on the asset class, non-compliance may render the security void in its entirety , unenforceable against third parties , or deprive it of priority .<\/p>\n<p>There are also restrictions on who may be a party to the security. For example, a mortgagee under the Dubai land regime must be a bank or finance company duly licensed and registered with the UAE Central Bank to provide real property financing in the UAE . Foreign lenders without a UAE Central Bank license accordingly cannot take direct security over Dubai immovable property and must structure around this restriction \u2014 typically by lending through a UAE-licensed entity, or by taking security through a UAE-licensed security agent acting on behalf of the syndicate, or by relying on offshore security and corporate guarantees in lieu of direct land security.<\/p>\n<p>The real estate mortgage regime and off-plan mortgage regimes (i.e., mortgage regimes applicable to units that are sold before completion of construction and before issuance of a completion certificate) are particularly strict: unregistered real-property mortgage is generally not valid or not binding . For movables, by contrast, a security contract may be valid between the parties without perfection, but it will usually be ineffective against third parties unless the relevant perfection step is taken (typically registration, or possession\/control where applicable) .<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What practical issues do secured creditors face in enforcing their security package (e.g. timing issues, requirement for court involvement) in out-of-court and\/or insolvency proceedings?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Outside an insolvency, the Movables Security Law permits the enforcement of security over movables through an out-of-court process . In practice, however, the procedure is not wholly court-free. The debtor (or any interested party) may apply to the court to suspend execution where the consequences of execution would not be remediable, subject to the provision of monetary or bank security. After the secured creditor serves notice of intention to enforce, the debtor has 10 working days to object; if the debtor objects, the court must rule within five working days of the expiry of the objection period, and any appeal must be lodged within a further five working days . The system is therefore best described as self-help capable in principle but court-supervised at key choke points.<\/p>\n<p>For real estate, enforcement is more formal and court-dependent. Pure out-of-court enforcement is generally not permitted. The secured creditor must follow a judicial enforcement route: first serving a formal notice (usually via Notary Public) granting a 30-day cure period under Dubai Law No. 14 of 2008 demanding repayment. If the debtor fails to pay, the creditor may apply to the court for an attachment order and sale of the property by public auction through the relevant land department. The debtor may object to the sale and request a postponement by demonstrating potential repayment or substantial damage resulting from the sale. In practice, a contested real estate enforcement in Dubai typically takes 12 to 18 months from notarial notice to completion of public auction, longer in other emirates.<\/p>\n<p>In an insolvency context, the governing regime is now Federal Decree-Law No. 51 of 2023 on Financial Restructuring and Bankruptcy (the &#8220;Bankruptcy Law&#8221;), which entered into force on 1 May 2024 and replaced the 2016 Bankruptcy Law. The 2023 Bankruptcy Law introduced three distinct procedural tracks \u2014 preventive settlement, restructuring and bankruptcy\/liquidation \u2014 and created a dedicated specialist Bankruptcy Court with first-instance, appellate and cassation chambers. The position of secured creditors differs across the three tracks and must be assessed by reference to the specific procedure invoked.<br \/>\nThe critical threshold across all three tacks is perfection before commencement. A creditor with validly perfected security over movable or immovable property enjoys priority over preferred and ordinary creditors up to the value of its collateral, subject only to the trustee\u2019s reasonable sale costs being deducted first .<\/p>\n<p>Once bankruptcy proceedings are commenced, new and existing claims against the debtor are stayed, and secured creditors must obtain leave of the court to enforce against their collateral. The court may refuse immediate enforcement where a restructuring would better serve the creditor body as a whole, may approve execution procedures against the collateral, and the trustee\u2019s sale costs are deducted off the top of collateral proceeds before distribution to the secured creditor . The court may also impose a cram-down on dissenting secured creditors in restructuring proceedings where the statutory majorities are satisfied and the court is satisfied that secured creditors will not be worse off than in a hypothetical liquidation. While secured creditors retain a privileged position on their collateral, the extensive degree of court oversight can therefore delay realization, since the Bankruptcy Court has significant powers to intervene. It may prohibit or postpone the sale of the collateral if it considers that a restructuring would better serve the interests of the creditor body as a whole or require the secured creditor to await a court permission before proceeding .<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What restructuring and rescue procedures are available in the jurisdiction, what are the entry requirements and how is a restructuring plan approved and implemented? Does management continue to operate the business and \/ or is the debtor subject to supervision? What roles do the court and other stakeholders play?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Before discussing the procedural aspects, it is useful to outline the main bodies involved in bankruptcy proceedings in the UAE:<\/p>\n<ul>\n<li>The Bankruptcy Court \u2013 a dedicated federal court established by Federal Judicial Council Decision No. 39 of 2025 and seated at the Federal Court of First Instance in Abu Dhabi, with branches to be designated as required. It has exclusive jurisdiction over disputes arising under the Bankruptcy Law. Decisions are subject to appeal, and appellate decisions are final .<\/li>\n<li>The Bankruptcy Department \u2013 the administrative division within the Bankruptcy Court, which registers filings, ensures procedural compliance and supervises the management of the debtor\u2019s assets.<\/li>\n<li>The Financial Restructuring and Bankruptcy Unit \u2013 a specialist unit at the UAE Ministry of Justice which, among other functions, maintains the public Financial Restructuring and Bankruptcy Register, approves the roster of qualified experts from which trustees are appointed, and nominates trustees in bankruptcy proceedings.<\/li>\n<li>The Supervisory Entities \u2013 the UAE Central Bank and the Capital Market Authority (\u201cCMA\u201d), formally designated as such under the Executive Regulation, which exercise oversight where the debtor is a regulated entity.<\/li>\n<\/ul>\n<p>Under Federal Decree-Law No. 51 of 2023 Promulgating the Financial and Bankruptcy Law (\u201cBankruptcy Law\u201d), which came into force on 1 May 2024 and is supplemented by Cabinet Resolution No. 94 of 2024 (\u201cExecutive Regulation\u201d) , the following two rescue procedures are available before initiating bankruptcy: (i) preventive settlement, and (ii) restructuring.<\/p>\n<p><strong>Preventive Settlement<\/strong><\/p>\n<p>Preventive settlement may be initiated only on the debtor\u2019s application. It is available to a debtor that is not yet insolvent but is in financial difficulty or anticipates being unable to pay part or all of its debts as they fall due, provided the debtor has not ceased paying its due debts for more than 60 consecutive business days . It is designed to allow the debtor to negotiate a consensual settlement with creditors under the supervision of the Bankruptcy Court.<\/p>\n<p>Following the decision to initiate proceedings, the debtor continues to manage its business in the ordinary course, provided that its actions do not prejudice creditors\u2019 interests and unless the court directs otherwise . Acts outside the ordinary course of business require the prior approval of the Bankruptcy Court. Importantly, no trustee is appointed by default; the court may appoint one only where it deems it necessary. An automatic three-month moratorium applies from the date of the initiation decision, extendable in monthly increments up to a maximum of six months in aggregate .<\/p>\n<p>Within three months of the preventive settlement initiation the debtor must file its preventive settlement proposal, a court-supervised restructuring plan detailing how it proposes to repay or restructure its debts with creditors in order to avoid liquidation . Approval requires the affirmative vote of creditors representing two-thirds of the value of approved debts attending the meeting (the required amount being creditors representing 50% of approved claims for voting purposes) . If creditors reject the proposal, the court may, on the parties\u2019 application, transition the case into restructuring or bankruptcy proceedings .<\/p>\n<p><strong>Restructuring<\/strong><\/p>\n<p>Restructuring proceedings may be initiated by the debtor or a qualifying creditor (see Question 7 below), provided that the debtor\u2019s business is viable, meaning that the debtor has the prospect of repaying its debts and returning to profitability after implementation of the plan . Viability is confirmed by the trustee\u2019s technical report .<\/p>\n<p>Upon commencement, the Bankruptcy Court appoints a trustee from the roster nominated by the Financial Restructuring and Bankruptcy Unit, and the debtor continues to manage the business under the trustee\u2019s supervision . The debtor may not, without the trustee\u2019s consent, undertake transactions outside the ordinary course (including, providing or renewing guarantees to others, paying debts before their due dates, the acquisition of shares or establishing subsidiaries, dispositions of assets beyond the scope of usual activity, waiving any claims or entering into a settlement) .<\/p>\n<p>The completed restructuring plan must be filed with the Bankruptcy Department within three months of the initiation decision (this deadline is extendable by the Bankruptcy Court) , and must contain a summary of the debtor\u2019s business plan, an updated list of creditors and debtors, the ranking and security of creditor groups, evidence of viability, and any activities to be suspended or terminated . The moratorium in restructuring is not subject to the six-month cap that applies in preventive settlement; it extends from the initiation decision until the plan is ratified or the proceedings are terminated .<\/p>\n<p>Plan approval requires the same two-thirds value threshold described above in relation to the preventive settlement stage. That said, the court may approve a restructuring plan even where the requisite creditor majority has not been obtained, provided that dissenting creditors are not worse off than in a liquidation. Failure to implement an approved plan may result in the conversion of the proceedings into bankruptcy.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can a debtor in restructuring proceedings obtain new financing and are any special priorities afforded to such financing (if available)?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>A debtor in preventive settlement or restructuring may obtain new financing to support ongoing operations, and such financing enjoys statutory priority over existing ordinary debts . New financing must be authorised by the Bankruptcy Court, which assesses whether it is consistent with the collective interests of creditors and supports the restructuring plan.<\/p>\n<p>The Bankruptcy Law also permits new financing to be secured by a fresh mortgage over already-mortgaged assets, provided that the value of the asset exceeds the existing secured debt. Unless existing secured creditors consent otherwise, the new mortgage ranks behind the existing one .<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can a restructuring proceeding release claims against non-debtor parties (e.g. guarantees granted by parent entities, claims against directors of the debtor), and, if so, in what circumstances?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Restructuring proceedings under the Bankruptcy Law primarily affect the debtor\u2019s own obligations. Third-party guarantees, security granted by group entities and claims against directors remain enforceable, and a creditor\u2019s vote in favour of a plan does not release co-obligors unless the third party expressly consents to such release or modification. The same approach applies to co-debtors: the discharge of the principal debtor does not, of itself, release a co-debtor . Creditors with the benefit of parental or sponsor guarantees should therefore not assume that they will be compromised by a UAE restructuring plan without specific consent.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How do creditors organize themselves in these proceedings? Are advisory fees covered by the debtor and to what extent?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Creditors are formally organised through a creditors\u2019 committee . Following the initiation of preventive settlement, the debtor coordinates the formation of the committee from the various creditor groups, and the Bankruptcy Court approves the committee within ten days of filing. As a general rule, the default voting class is ordinary creditors; secured creditors vote only if authorised by the court (without prejudice to their security), or if they waive that security .<\/p>\n<p>The trustee\u2019s fees, as fixed in the appointment decision, together with the necessary expenses incurred in administering the case, are payable out of the debtor\u2019s known property, and the Bankruptcy Court may authorise payments on account . Where secured assets are realised, the trustee\u2019s reasonable fees and sale costs are deducted from the proceeds before any distribution to the secured creditor . The Bankruptcy Law does not generally provide for the debtor to bear creditors\u2019 own advisory costs, although in practice such costs may be addressed by negotiation in the plan itself.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What is the test for insolvency? Is there any obligation on directors or officers of the debtor to open insolvency proceedings upon the debtor becoming distressed or insolvent? Are there any consequences for failure to do so?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The insolvency threshold under the Bankruptcy Law is broader than a pure balance-sheet test. A debtor may petition for the opening of bankruptcy proceedings within 60 business days from the date of cessation of payment of a due debt, or from the date on when the debtor became aware that it will be unable to pay its debts when they fall due , provided that the unpaid debt is at least AED 500,000 for a legal entity, or AED 300,000 for a natural person . However, filing such a petition is not, on its face, a mandatory obligation of the debtor.<\/p>\n<p>A creditor (or a group of creditors) may file a petition where the following requirements are met :<\/p>\n<ul>\n<li>the debtor has failed to pay a debt of at least AED 1,000,000 (or AED 10,000,000 where the debtor is regulated by the UAE Central Bank or the CMA);<\/li>\n<li>the debt is unconditional, undisputed and due for payment ; and<\/li>\n<li>the creditor has served at least 30 business days\u2019 prior written notice demanding payment, and the debtor has not paid or otherwise responded.<\/li>\n<\/ul>\n<p>Directors and officers are expected to monitor liquidity and the financial condition of the company closely. Where distress is foreseeable, they are expected to act with due care, in good faith and in the collective interest of creditors. Although the Bankruptcy Law does not formally impose an obligation to file, the law adopts a modern, conduct-based liability standard for directors: if a director\u2019s act or omission has caused the company to be unable to pay at least 20% of its debts, the Bankruptcy Court may, on the trustee\u2019s motion, order the director(s) to pay an amount proportionate to the error attributed to the relevant director . Claims must be brought within two years of the bankruptcy judgment . Criminal liability also exists for certain wrongful acts (see Question 15 below).<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What insolvency proceedings are available in the jurisdiction? Does management continue to operate the business and \/ or is the debtor subject to supervision? What roles do the court and other stakeholders play? How long does the process usually take to complete?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Where preventive settlement and restructuring are not available or have failed, the proceedings move to the bankruptcy (liquidation) phase. This stage applies where the debtor is unable to continue operate and the objective shifts to collective realisation of the debtor\u2019s assets and equitable distribution to creditors.<\/p>\n<p>Bankruptcy proceedings typically proceed through four main stages: (i) initiation and appointment of a trustee following a court decision; (ii) preparation (where no list of debts was prepared in earlier proceedings) and verification\/finalisation of creditor claims; (iii) taking control of the debtor\u2019s estate, including securing assets and transferring management to the trustee; and (iv) preparation by the trustee of a liquidation and distribution plan for creditor approval and court ratification, followed by the realisation and distribution of assets under the approved plan.<\/p>\n<p>A petition for bankruptcy may be filed by the debtor or by a creditor. The Bankruptcy Court issues a decision to open bankruptcy:<\/p>\n<ul>\n<li>on the initial filing of a petition by the debtor or a qualifying creditor; or<\/li>\n<li>on the motion of the debtor or creditors where a preventive settlement or restructuring plan has been denied, or where the relevant rescue proceeding has been unsuccessfully terminated .<\/li>\n<\/ul>\n<p>In practice, where creditors move directly to bankruptcy, proceedings typically take about 18 months. Where the debtor first uses preventive settlement or restructuring before any transition into bankruptcy, total proceedings can run for about 3 years. These timeframes do not include collateral disputes, challenges to the admission of creditor claims, avoidance actions, director-liability proceedings and the like, which can materially extend the case. The newly established Bankruptcy Court is expected to bring greater consistency to scheduling, but it is still too early to measure the practical impact of judicial specialisation on case length.<\/p>\n<p>From the date of the bankruptcy declaration, the debtor is divested of the power to dispose of its assets, which are administered by the trustee . On a reasoned application by the trustee or the debtor, the court may permit the debtor to continue managing the business where this is in the interest of the creditors as a whole . At this stage, transactions can be challenged, director liability can be sought, and the trustee\u2019s liquidation and distribution plan is brought before creditors and the court for approval. The process then concludes with the presentation of final accounts at a creditors\u2019 meeting, the return of any surplus to the debtor, and the formal closure of the proceedings.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What form of stay or moratorium applies in insolvency proceedings against the continuation of legal proceedings or the enforcement of creditors\u2019 claims? Does that stay or moratorium have extraterritorial effect? In what circumstances may creditors benefit from any exceptions to such stay or moratorium?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>On the issuance of a decision opening proceedings, all claims against the debtor are suspended with effect from the following day, and the stay continues until the plan is ratified or the proceedings are terminated. As noted, the moratorium in preventive settlement is capped at six months in aggregate, whereas in restructuring it is open-ended (the cap on the underlying timetable being the deadline for filing and ratifying the plan).<\/p>\n<p>The principal exceptions are as follows:<\/p>\n<ul>\n<li>labour claims and personal status claims (other than those concerning the estate, e.g. inheritance) are expressly excluded from the stay ;<\/li>\n<li>secured creditors may, with leave of the Bankruptcy Court, enforce against their collateral ; and<\/li>\n<li>set-off remains permissible where it arises out of the same transaction or where the conditions for set-off (mutuality, due and payable, of the same kind) were already satisfied prior to commencement.<\/li>\n<\/ul>\n<p>The Bankruptcy Law does not confer any express extraterritorial effect on the moratorium. Whether a stay declared by the UAE Bankruptcy Court is given effect against assets located outside the UAE depends on the law of the foreign jurisdiction in question. Cases such as Re Almuhairi and another [2024] EWHC 535 (Ch), in which the English courts recognised UAE bankruptcy proceedings under the UK Cross-Border Insolvency Regulations 2006, demonstrate that cross-border recognition of UAE insolvency proceedings is achievable, although not automatic.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How do the creditors, and more generally any affected parties, proceed in such proceedings? What are the requirements and forms governing the adoption of any reorganisation plan (if any)?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Creditors whose claims have been finally approved have the right to vote on the restructuring plan or preventive settlement proposal, while the Bankruptcy Court may also permit creditors with provisionally approved claims to participate in the voting. The plan is considered approved if creditors representing at least two-thirds in value of the debts present at the meeting vote in its favour, provided that the quorum requirement of more than fifty percent of the total admitted debts is met. In addition, creditors or a group of creditors have the right to initiate restructuring or bankruptcy proceedings by filing an application with the Bankruptcy Department, subject to satisfying certain conditions such as the existence of an overdue debt and meeting the prescribed minimum threshold.<\/p>\n<p>During the restructuring stage, the debtor, under the supervision of the trustee, prepares a restructuring plan, which must include a summary of the business plan, an updated list of creditors and debtors with claim values, the ranking and security of creditor groups, confirmation of business viability, and details of any proposed suspension or termination of activities. The plan must be filed with the Bankruptcy Department within three months of the opening decision, subject to extension by the Bankruptcy Court.<\/p>\n<p>Creditors are required to submit proofs of claim within the timeframe set by the trustee following the opening of proceedings. The trustee verifies claims and prepares a schedule of admitted and disputed debts, which may be challenged before the Bankruptcy Court.<\/p>\n<p>The restructuring plan is then submitted to creditors for voting. If approved by the requisite majority, it is subject to ratification by the Bankruptcy Court, which may refuse approval where the plan breaches mandatory legal provisions, unfairly prejudices creditors, or is not capable of implementation. In certain cases, the court may nevertheless approve the plan notwithstanding creditor dissent, provided that statutory fairness conditions are met. Once ratified, the plan becomes binding on all creditors. The trustee supervises implementation and reports to the court on progress.<\/p>\n<p>If the restructuring plan fails or cannot be implemented, the proceedings may be converted into bankruptcy and liquidation.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How do creditors and other stakeholders rank on an insolvency of a debtor? Do any stakeholders enjoy particular priority (e.g. employees, pension liabilities, DIP financing)? Could the claims of any class of creditor be subordinated (e.g. recognition of subordination agreement)?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Claims in a UAE bankruptcy rank in the following order of priority:<\/p>\n<ul>\n<li>secured creditors, in respect of debts secured by movable or immovable property, who rank ahead of the preferred creditors (subject to deduction of the trustee\u2019s reasonable sale costs) ;<\/li>\n<li>preferred debts, in the following sub-order : (i) legal fees, trustee fees and expenses incurred in safeguarding and liquidating the assets; (ii) court-ordered pension debts; (iii) amounts payable to government authorities; (iv) employees\u2019 end-of-service gratuities and unpaid wages and salaries (capped at 3 months); (v) experts\u2019 fees agreed with the debtor; and (vi) post-commencement costs of goods and services supplied to keep the business operating; and<\/li>\n<li>ordinary unsecured creditors, paid pro rata after the secured and preferred claims.<\/li>\n<\/ul>\n<p>The Bankruptcy Law does not currently contain a specific provision recognising contractual subordination.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can a debtor\u2019s pre-insolvency transactions be challenged? If so, by whom, when and on what grounds? What is the effect of a successful challenge and how are the rights of third parties impacted?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Pre-insolvency transactions of the debtor may be challenged by the trustee. The principal hardening periods are:<\/p>\n<ul>\n<li>transactions concluded within the six months preceding the cessation of payment date are challengeable on the statutory grounds, including: gratuitous dispositions; significantly unbalanced transactions; early repayment of debts; payment of due debts otherwise than as agreed, or grant of new security for an existing debt ;<\/li>\n<li>transactions mentioned in the item above with related parties or an insider within the two years preceding the commencement of proceedings can be declared unenforceable ; and<\/li>\n<li>where the counterparty acted in bad faith (i.e. knew of the debtor\u2019s purpose of asset-stripping or knew of the cessation of payment), any harmful disposition may be challenged under the general Civil Code claw-back doctrine within three years from the day the creditor learned of the transaction, and in any event no later than 15 years from the date of the disposition .<\/li>\n<\/ul>\n<p>An action under the Bankruptcy Law may be brought within one year after the decision to initiate bankruptcy procedures . A successful challenge renders the transaction unenforceable against creditors and obliges the counterparty to return the asset or its value, together with any interest, profits, or proceeds derived from them . In turn, the counterparty is entitled to recover any consideration provided to the debtor in exchange. Where the consideration cannot be restored, the counterparty becomes an ordinary creditor for its claim . The court may dismiss the challenge where the debtor acted in good faith and the transaction was for the benefit of the business .<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How are existing contracts treated in restructuring and insolvency processes? Are the parties obliged to continue to perform their obligations? Will termination, retention of title and set-off provisions in these contracts remain enforceable? Is there any ability for either party to disclaim the contract?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>As a general rule, contracts remain in force upon the commencement of insolvency proceedings. In preventive settlement and restructuring, the opening decision neither suspends nor terminates the debtor\u2019s contracts, and the counterparty must continue to perform so long as the debtor does not default thereafter. The Bankruptcy Court may, on the debtor\u2019s application, authorise the termination of any contract where this is necessary for the business or in the creditors\u2019 collective interest .<\/p>\n<p>In bankruptcy, leases of property used for the conduct of trade continue in force and any contractual provision to the contrary is void . Employment contracts may not be terminated by reason only of the bankruptcy, unless the business is discontinued . Where the business continues, the trustee must pay suppliers and service providers in accordance with the relevant contracts . Therefore, contractual clauses purporting to permit termination by reason only of the commencement of proceedings are accordingly of limited effect.<\/p>\n<p>Retention of title clauses are recognised in principle under UAE law, but their enforceability in a bankruptcy depends on registration of the relevant security interest under the Movables Security Law where applicable. Set-off arising prior to commencement, or out of the same transaction, should remain effective; post-commencement contractual set-off is more constrained and generally subject to court approval.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What conditions apply to the sale of assets \/ the entire business in a restructuring or insolvency process? Does the purchaser acquire the assets \u201cfree and clear\u201d of claims and liabilities? Can security be released without creditor consent? Is credit bidding permitted? Are pre-packaged sales possible?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>A restructuring plan may include an offer to acquire all or part of the debtor\u2019s assets on a going-concern basis , and this is the closest existing analogue to a pre-packaged sale. In bankruptcy proceedings, the debtor\u2019s business may be sold as a going concern as one unit , typically by public auction unless the court approves a private sale on the trustee\u2019s motion. There is, however, no express statutory mechanism for a &#8220;free and clear&#8221; transfer of assets that automatically extinguishes existing claims and liabilities; in practice the protection afforded to the purchaser depends on the terms of the sale order and the underlying security position.<\/p>\n<p>Both, during the preventive settlement and restructuring stages, the Bankruptcy Law permits the unification, replacement, dissolution or sale of existing security interests where necessary to implement the plan, but only with the consent of the relevant secured creditor . Credit bidding is not expressly addressed by the Bankruptcy Law.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What duties and liabilities should directors and officers be mindful of when managing a distressed debtor? What are the consequences of breach of duty? Is there any scope for other parties (e.g. director, partner, shareholder, lender) to incur liability for the debts of an insolvent debtor and if so can they be covered by insurances?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The directors and officers of the debtor are expected to act with due care, in good faith and in the interests of the company\u2019s creditors as a whole. The Bankruptcy Law expressly provides that the court may, on the trustee\u2019s application, order directors and any persons performing managerial functions to pay an amount proportionate to their respective fault in respect of the following acts (carried out during the two years preceding the cessation of payments) (i) the taking of unstudied risks, (ii) the conclusion of unbalanced transactions, (iii) the making of preferential payments and the discharge of one creditor\u2019s debt with the intention of harming the others, and (iv) any acts or omissions which have caused the debtor to be unable to pay at least 20% of its debts . Such claims are time-barred two years after adjudicating the bankruptcy proceedings.<\/p>\n<p>Beyond civil liability, directors, managers, auditors and liquidators are subject to criminal sanction under the Bankruptcy Law, with punishment of imprisonment of up to 5 years and\/or a fine of up to AED 1 million where they: conceal, destroy or alter company books; embezzle or hide company assets; acknowledge fictitious debts; fraudulently obtain approval of a restructuring plan or preventive settlement; distribute fictitious profits or appropriate assets as bonuses to which they were not entitled .<\/p>\n<p>Liability is in principle personal to the directors and officers concerned, but may extend to shareholders, partners or lenders who have effectively participated in the management of the debtor (shadow or de facto directors). Standard D&amp;O insurance is in principle available in the UAE; however criminal liability and intentionally wrongful acts are typically excluded from cover, and policies should be reviewed to confirm jurisdiction-specific carve-outs.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Do restructuring or insolvency proceedings have the effect of releasing directors and other stakeholders from liability for previous actions and decisions? In which context could the liability of the directors be sought?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Restructuring or insolvency proceedings do not release directors from liability for their pre-commencement conduct. Directors remain personally exposed for specific acts and omissions committed during the two years preceding the date of cessation of payment , as well as for breaches of their general duties of care, loyalty and good faith under the UAE Commercial Companies Law and (where relevant) the Civil Code.<\/p>\n<p>Director-liability claims are typically brought by the trustee on behalf of the creditor body, although individual creditors may, in certain circumstances, bring separate claims under the general principles of liability.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Will a local court recognise foreign restructuring or insolvency proceedings over a local debtor? What is the process and test for achieving such recognition? Does recognition depend on the COMI of the debtor and\/or the governing law of the debt to be compromised? Has the UNCITRAL Model Law on Cross Border Insolvency or the UNCITRAL Model Law on Recognition and Enforcement of Insolvency-Related Judgments been adopted or is it under consideration in your country?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The onshore UAE has not adopted a dedicated cross-border insolvency framework. The Bankruptcy Law contains no equivalent of the UNCITRAL Model Law on Cross-Border Insolvency, and the long-anticipated reform did not extend to incorporating it. Recognition of a foreign insolvency or restructuring decision must instead be pursued under the general framework for the recognition and enforcement of foreign judgments in the Civil Procedure Law . A foreign insolvency-related judgment will be recognised, in principle, where the conditions set by the Civil Procedure Law are met , namely:<\/p>\n<ul>\n<li>reciprocity exists between the UAE and the issuing state, whether by treaty or in practice;<\/li>\n<li>the foreign judgment is final and enforceable in the state of origin;<\/li>\n<li>the UAE courts do not have exclusive jurisdiction over the matter;<\/li>\n<li>the parties were properly notified and afforded due process; and<\/li>\n<li>the foreign judgment does not contradict UAE public policy.<\/li>\n<\/ul>\n<p>The UAE is also party to a number of multilateral instruments providing for the reciprocal recognition of judgments, including the 1983 Riyadh Arab Convention and the 1996 GCC Convention.<\/p>\n<p>The UAE follows a broadly territorial approach: its onshore courts focus on assets and proceedings located within the territory, and concepts such as &#8220;centre of main interests&#8221; (COMI) and &#8220;establishment&#8221; play no statutory role.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">For EU countries only: Have there been any challenges to the recognition of English proceedings in your jurisdiction following the Brexit implementation date? If yes, please provide details.<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Not applicable.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can debtors incorporated elsewhere enter into restructuring or insolvency proceedings in the jurisdiction? What are the eligibility requirements? Are there any restrictions? Which country does your jurisdiction have the most cross-border problems with?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>As a starting point, debtors incorporated outside the onshore UAE generally cannot avail themselves of the Bankruptcy Law. The Bankruptcy Law applies to :<\/p>\n<ul>\n<li>commercial companies established in the onshore UAE;<\/li>\n<li>any natural person carrying on the activities of a trader; and<\/li>\n<li>licensed professional firms (such as law firms, medical practice, engineering consultancy, etc).<\/li>\n<\/ul>\n<p>Companies established in the financial free zones (the DIFC and ADGM) are expressly excluded from the scope of the onshore Bankruptcy Law and are subject to their own insolvency regimes . Where a foreign-incorporated debtor has sufficient links with the onshore UAE, in particular through a licensed UAE branch, the Bankruptcy Law\u2019s provisions may apply .<\/p>\n<p>Currently we cannot identify any particular jurisdiction as giving rise to distinctive cross-border insolvency difficulties for the UAE.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How are groups of companies treated on the restructuring or insolvency of one or more members of that group? Is there scope for cooperation between office holders? For EU countries only: Have there been any changes in the consideration granted to groups of companies following the transposition of Directive 2019\/1023?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>UAE law follows the principle of separate legal personality. Save in the limited cases of veil-piercing or shadow-director liability, the shareholders of a UAE company are not liable for the debts of the company on its insolvency. There is no concept of substantive consolidation in the U.S. sense, nor any general procedural-coordination regime equivalent to the UNCITRAL Model Law on Enterprise Group Insolvency.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is your country considering adoption of the UNCITRAL Model Law on Enterprise Group Insolvency?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Currently there is no publicly available indication that the onshore UAE is actively considering the adoption of the UNCITRAL Model Law on Enterprise Group Insolvency.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any proposed or upcoming changes to the restructuring \/ insolvency regime in your country?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The Bankruptcy Law was only adopted in 2023 (effective 1 May 2024). The recent emphasis has been on operationalising the new regime, in particular through the establishment of the specialised Bankruptcy Court, and through the build-out of judicial and expert resources to support it. Therefore, no further large-scale legislative reform of the bankruptcy regime is currently in the public domain.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is your jurisdiction debtor or creditor friendly and was it always the case?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The previous bankruptcy law (Federal Decree-Law No. 9 of 2016 On Bankruptcy) was widely regarded as overly procedural, with strict eligibility conditions for the preventive composition (similar to preventive settlement stage under current Bankruptcy Law), criminal exposure for bounced cheques and a culture that stigmatised insolvency. The Bankruptcy Law and its Executive Regulation have introduced a streamlined and rescue-orientated framework: the replacement of the &#8220;preventive composition&#8221; tool with the more user-friendly preventive settlement; the removal of the previous strict cap on the restructuring moratorium; clearer rules on new financing priority; and the establishment of a specialised Bankruptcy Court. Therefore, the current regime is more debtor-friendly than its predecessor.<\/p>\n<p>That said, the regime continues to give meaningful protection to secured creditors: their security cannot be diluted without consent, the trustee\u2019s sale costs come off the top of collateral proceeds, and ordinary unsecured creditors rank behind both secured and preferred classes. On any view, the law is now closer in spirit to a balanced restructuring regime than it was before.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Do sociopolitical factors give additional influence to certain stakeholders in restructurings or insolvencies in the jurisdiction (e.g. pressure around employees or pensions)? What role does the State play in relation to a distressed business (e.g. availability of state support)?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Sociopolitical considerations, in particular the protection of employees, the preservation of UAE-domiciled enterprises and the maintenance of confidence in the financial system, play a meaningful role in practice. The Bankruptcy Law itself reflects these priorities: employment claims are excluded from the moratorium; employment contracts cannot be terminated by reason only of bankruptcy unless the business is discontinued; and employees enjoy preferred status in the distribution waterfall. The Supervisory Entities (the UAE Central Bank and the CMA) play a coordinating role in cases involving systemically important debtors. Overall, policy developments appear to reflect a preference for restructuring mechanisms aimed at preserving employment and the debtor\u2019s going-concern value.<\/p>\n<p>In the ordinary course, the UAE government usually does not provide direct financial support to distressed private-sector businesses. Significant temporary measures were, however, introduced during the COVID-19 pandemic, principally the Targeted Economic Support Scheme (TESS) launched by the UAE Central Bank \u2013 an AED 50 billion zero-interest collateralised funding facility for banks, supplemented by the release of a further AED 50 billion from banks\u2019 capital and liquidity buffers .<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What are the greatest barriers to efficient and effective restructurings and insolvencies in the jurisdiction? Are there any proposals for reform to counter any such barriers?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The principal practical barriers, in our experience, are: (i) the absence of a statutory cross-border insolvency framework in the onshore UAE, which means foreign office-holders must rely on the general civil-procedure regime to obtain recognition; and (ii) the relatively limited body of case law on the new procedures, which creates uncertainty in particular around the application of the &#8220;company cram-down&#8221;, the perimeter of the director-liability regime and the precise scope of the avoidance powers.<\/p>\n<p>To address these barriers, the priorities identified by the practitioner community include: the modernisation of digital case management at the Bankruptcy Court; and broader stakeholder education to promote restructuring (rather than liquidation) as the default response to distress. Adoption of the UNCITRAL Model Law on Cross-Border Insolvency would also be a significant step forward and remains advocated by a number of experts.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\r\n<div class=\"word-count-hidden\" style=\"display:none;\">Estimated word count: <span class=\"word-count\">6742<\/span><\/div>\r\n\r\n\t\t\t<\/ol>\r\n\r\n<script type=\"text\/javascript\" src=\"\/wp-content\/themes\/twentyseventeen\/src\/jquery\/components\/filter-guides.js\" async><\/script><\/div>"}},"_links":{"self":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide\/143906","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide"}],"about":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/types\/comparative_guide"}],"wp:attachment":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/media?parent=143906"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}